diff --git a/package-lock.json b/package-lock.json
index e9b0a69..1887b3b 100644
--- a/package-lock.json
+++ b/package-lock.json
@@ -8,6 +8,7 @@
       "name": "solana-meme-generator",
       "version": "0.1.0",
       "dependencies": {
+        "@fal-ai/client": "^1.2.1",
         "@solana/spl-token": "^0.3.8",
         "@solana/web3.js": "^1.78.4",
         "@types/node": "20.5.7",
@@ -131,6 +132,19 @@
         "node": "^12.22.0 || ^14.17.0 || >=16.0.0"
       }
     },
+    "node_modules/@fal-ai/client": {
+      "version": "1.2.1",
+      "resolved": "https://registry.npmjs.org/@fal-ai/client/-/client-1.2.1.tgz",
+      "integrity": "sha512-Z/bztRqOeduuUYl74VPQRDS12vjXGGebROJM7NcJXCmkV4GSZllA68ES1GwY3Q+31puukBoOppC0iBmY6us5MQ==",
+      "dependencies": {
+        "@msgpack/msgpack": "^3.0.0-beta2",
+        "eventsource-parser": "^1.1.2",
+        "robot3": "^0.4.1"
+      },
+      "engines": {
+        "node": ">=18.0.0"
+      }
+    },
     "node_modules/@humanwhocodes/config-array": {
       "version": "0.11.14",
       "resolved": "https://registry.npmjs.org/@humanwhocodes/config-array/-/config-array-0.11.14.tgz",
@@ -272,6 +286,14 @@
         "@jridgewell/sourcemap-codec": "^1.4.14"
       }
     },
+    "node_modules/@msgpack/msgpack": {
+      "version": "3.0.0-beta2",
+      "resolved": "https://registry.npmjs.org/@msgpack/msgpack/-/msgpack-3.0.0-beta2.tgz",
+      "integrity": "sha512-y+l1PNV0XDyY8sM3YtuMLK5vE3/hkfId+Do8pLo/OPxfxuFAUwcGz3oiiUuV46/aBpwTzZ+mRWVMtlSKbradhw==",
+      "engines": {
+        "node": ">= 14"
+      }
+    },
     "node_modules/@next/env": {
       "version": "13.4.19",
       "resolved": "https://registry.npmjs.org/@next/env/-/env-13.4.19.tgz",
@@ -2609,6 +2631,14 @@
       "resolved": "https://registry.npmjs.org/eventemitter3/-/eventemitter3-5.0.1.tgz",
       "integrity": "sha512-GWkBvjiSZK87ELrYOSESUYeVIc9mvLLf/nXalMOS5dYrgZq9o5OVkbZAVM06CVxYsCwH9BDZFPlQTlPA1j4ahA=="
     },
+    "node_modules/eventsource-parser": {
+      "version": "1.1.2",
+      "resolved": "https://registry.npmjs.org/eventsource-parser/-/eventsource-parser-1.1.2.tgz",
+      "integrity": "sha512-v0eOBUbiaFojBu2s2NPBfYUoRR9GjcDNvCXVaqEf5vVfpIAh9f8RCo4vXTP8c63QRKCFwoLpMpTdPwwhEKVgzA==",
+      "engines": {
+        "node": ">=14.18"
+      }
+    },
     "node_modules/eyes": {
       "version": "0.1.8",
       "resolved": "https://registry.npmjs.org/eyes/-/eyes-0.1.8.tgz",
@@ -4723,6 +4753,11 @@
         "url": "https://github.com/sponsors/isaacs"
       }
     },
+    "node_modules/robot3": {
+      "version": "0.4.1",
+      "resolved": "https://registry.npmjs.org/robot3/-/robot3-0.4.1.tgz",
+      "integrity": "sha512-hzjy826lrxzx8eRgv80idkf8ua1JAepRc9Efdtj03N3KNJuznQCPlyCJ7gnUmDFwZCLQjxy567mQVKmdv2BsXQ=="
+    },
     "node_modules/rpc-websockets": {
       "version": "9.0.4",
       "resolved": "https://registry.npmjs.org/rpc-websockets/-/rpc-websockets-9.0.4.tgz",
diff --git a/package.json b/package.json
index ed96fec..29ba1f7 100644
--- a/package.json
+++ b/package.json
@@ -9,6 +9,7 @@
     "lint": "next lint"
   },
   "dependencies": {
+    "@fal-ai/client": "^1.2.1",
     "@solana/spl-token": "^0.3.8",
     "@solana/web3.js": "^1.78.4",
     "@types/node": "20.5.7",
diff --git a/src/app/api/generate/route.ts b/src/app/api/generate/route.ts
new file mode 100644
index 0000000..7180f22
--- /dev/null
+++ b/src/app/api/generate/route.ts
@@ -0,0 +1,52 @@
+import { NextRequest, NextResponse } from 'next/server'
+import { fal } from "@fal-ai/client"
+
+// Add debug logging
+const FAL_KEY = process.env.FAL_AI_KEY
+
+if (!FAL_KEY) {
+  throw new Error('FAL_AI_KEY is not configured in environment variables')
+}
+
+// Configure fal client server-side only
+fal.config({
+  credentials: FAL_KEY
+})
+
+export async function POST(req: NextRequest): Promise<NextResponse> {
+  try {
+    const { prompt } = await req.json()
+
+    if (!prompt) {
+      return NextResponse.json(
+        { error: 'Prompt is required' },
+        { status: 400 }
+      )
+    }
+
+    console.log('Attempting Fal.ai request with prompt:', prompt)
+
+    const result = await fal.subscribe("fal-ai/flux-pro/v1.1", {
+      input: {
+        prompt
+      },
+      logs: true,
+      onQueueUpdate: (update) => {
+        if (update.status === "IN_PROGRESS") {
+          console.log('Generation progress:', update.logs.map((log) => log.message))
+        }
+      },
+    })
+
+    console.log('Fal.ai response received:', result ? 'Success' : 'Empty response')
+    return NextResponse.json(result)
+  } catch (error) {
+    console.error('Image generation error:', error)
+    return NextResponse.json(
+      { error: error instanceof Error ? error.message : 'Failed to generate image' },
+      { status: 500 }
+    )
+  }
+}
+
+export const dynamic = 'force-dynamic'
diff --git a/src/app/page.tsx b/src/app/page.tsx
index c63ef53..73c1121 100644
--- a/src/app/page.tsx
+++ b/src/app/page.tsx
@@ -2,21 +2,31 @@
 
 import React, { useState } from 'react'
 import { Connection, PublicKey, Transaction } from '@solana/web3.js'
-import { TOKEN_PROGRAM_ID, createTransferInstruction, getAssociatedTokenAddress } from '@solana/spl-token'
+import { 
+  TOKEN_PROGRAM_ID, 
+  createTransferInstruction, 
+  getAssociatedTokenAddress,
+  createAssociatedTokenAccountInstruction as createATAInstruction,
+  ASSOCIATED_TOKEN_PROGRAM_ID
+} from '@solana/spl-token'
+
+import { fal } from "@fal-ai/client"
 
 interface WalletState {
   connected: boolean
   publicKey: string | null
 }
-
+/*
 interface PaymentStatus {
   paid: boolean
   processing: boolean
   error: string | null
 }
+*/
 
 interface GenerationState {
   loading: boolean
+  processing: boolean
   imageUrl: string | null
   error: string | null
 }
@@ -41,7 +51,7 @@ declare global {
 
 // Replace these with your actual addresses
 const MTM_TOKEN_MINT: string = '97RggLo3zV5kFGYW4yoQTxr4Xkz4Vg2WPHzNYXXWpump'
-const PAYMENT_RECEIVER_ADDRESS: string = 'JB8YCqKBKNtS4ZHcGPJXSJokcvdgdeeyWRxGqgyX5EwP'
+const PAYMENT_RECEIVER_ADDRESS: string = '9B3mGyeJTUN7ZTqyLWHLL37zL92eif239hH2pYSkvq8J'
 const REQUIRED_PAYMENT_AMOUNT: number = 2
 const SOLANA_NETWORK: string = 'mainnet'
 const SOLANA_RPC_URL: string = 'https://young-radial-orb.solana-mainnet.quiknode.pro/67612b364664616c29514e551bf5de38447ca3d4'
@@ -60,14 +70,10 @@ const Page: React.FC = (): React.ReactElement => {
     connected: false,
     publicKey: null,
   })
-  const [paymentStatus, setPaymentStatus] = useState<PaymentStatus>({
-    paid: false,
-    processing: false,
-    error: null,
-  })
   const [inputText, setInputText] = useState<string>('')
   const [generationState, setGenerationState] = useState<GenerationState>({
     loading: false,
+    processing: false,
     imageUrl: null,
     error: null,
   })
@@ -98,20 +104,24 @@ const Page: React.FC = (): React.ReactElement => {
     }
   }
 
-  const processPayment = async (): Promise<void> => {
-    if (!walletState.connected || !walletState.publicKey || !window.solflare) {
+const processPaymentAndGenerate = async (): Promise<void> => {
+    if (!walletState.connected || !walletState.publicKey || !window.solflare || !inputText) {
       return
     }
 
-    setPaymentStatus({ ...paymentStatus, processing: true, error: null })
+    setGenerationState({
+      ...generationState,
+      processing: true,
+      error: null,
+    })
 
     try {
-      // Convert string addresses to PublicKeys
+      // Process payment first
       const senderPublicKey = new PublicKey(walletState.publicKey)
       const mintPublicKey = new PublicKey(MTM_TOKEN_MINT)
       const receiverPublicKey = new PublicKey(PAYMENT_RECEIVER_ADDRESS)
 
-      // Get the associated token accounts for sender and receiver
+      // Get the associated token accounts
       const senderATA = await getAssociatedTokenAddress(
         mintPublicKey,
         senderPublicKey
@@ -121,112 +131,113 @@ const Page: React.FC = (): React.ReactElement => {
         receiverPublicKey
       )
 
-      // Create transfer instruction
+      // Create transaction
+      const transaction = new Transaction()
+
+      // Check if receiver's ATA exists
+      const receiverATAInfo = await connection.getAccountInfo(receiverATA)
+      if (!receiverATAInfo) {
+        console.log('Creating receiver ATA...')
+        transaction.add(
+          createATAInstruction(
+            senderPublicKey, // payer
+            receiverATA, // ata
+            receiverPublicKey, // owner
+            mintPublicKey, // mint
+            TOKEN_PROGRAM_ID,
+            ASSOCIATED_TOKEN_PROGRAM_ID
+          )
+        )
+      }
+
+      // Check if sender's ATA exists
+      const senderATAInfo = await connection.getAccountInfo(senderATA)
+      if (!senderATAInfo) {
+        console.log('Creating sender ATA...')
+        transaction.add(
+          createATAInstruction(
+            senderPublicKey, // payer
+            senderATA, // ata
+            senderPublicKey, // owner
+            mintPublicKey, // mint
+            TOKEN_PROGRAM_ID,
+            ASSOCIATED_TOKEN_PROGRAM_ID
+          )
+        )
+      }
+
+      // Add transfer instruction
       const transferInstruction = createTransferInstruction(
         senderATA,
         receiverATA,
         senderPublicKey,
-        BigInt(REQUIRED_PAYMENT_AMOUNT * (10 ** 6)) // Convert to proper format
+        BigInt(REQUIRED_PAYMENT_AMOUNT * (10 ** 9))
       )
+      transaction.add(transferInstruction)
 
       const latestBlockhash = await connection.getLatestBlockhash('confirmed')
-
-      // Create transaction
-      const transaction = new Transaction()
-      transaction.add(transferInstruction)
       transaction.recentBlockhash = latestBlockhash.blockhash
       transaction.feePayer = senderPublicKey
 
-      try {
-        // Sign and send transaction with preflight disabled
-        const { signature } = await window.solflare.signAndSendTransaction(transaction, {
-          skipPreflight: true
-        })
-
-        console.log('Transaction sent:', signature)
-
-        // Wait for confirmation with WebSocket support
-        const confirmation = await connection.confirmTransaction({
-          signature,
-          blockhash: latestBlockhash.blockhash,
-          lastValidBlockHeight: latestBlockhash.lastValidBlockHeight,
-        }, 'confirmed')
-
-        console.log('Transaction confirmed:', confirmation)
-
-        if (confirmation.value.err) {
-          throw new Error('Transaction failed to confirm')
-        }
-
-        setPaymentStatus({
-          paid: true,
-          processing: false,
-          error: null,
-        })
-      } catch (error) {
-        console.error('Transaction error:', error)
-        throw new Error(`Failed to sign or send transaction: ${error instanceof Error ? error.message : 'Unknown error'}`)
-      }
-    } catch (error) {
-      console.error('Payment error:', error)
-      setPaymentStatus({
-        ...paymentStatus,
-        processing: false,
-        error: error instanceof Error ? error.message : 'Payment failed. Please try again.',
+      console.log('Sending transaction...')
+      // Sign and send transaction
+      const { signature } = await window.solflare.signAndSendTransaction(transaction, {
+        skipPreflight: false // Enable preflight checks
       })
-    }
-  }
 
-  const generateMeme = async (): Promise<void> => {
-    if (!inputText || !paymentStatus.paid) {
-      return
-    }
+      console.log('Transaction sent:', signature)
 
-    setGenerationState({
-      ...generationState,
-      loading: true,
-      error: null,
-    })
+      // Wait for confirmation
+      const confirmation = await connection.confirmTransaction({
+        signature,
+        blockhash: latestBlockhash.blockhash,
+        lastValidBlockHeight: latestBlockhash.lastValidBlockHeight,
+      }, 'confirmed')
 
-    try {
-      const response = await fetch('/api/proxy', {
+      console.log('Transaction confirmed:', confirmation)
+
+      if (confirmation.value.err) {
+        throw new Error('Payment failed to confirm')
+      }
+
+      // After payment is confirmed, generate the meme
+      setGenerationState(prev => ({ ...prev, loading: true }))
+
+      // Call our secure API endpoint instead of direct Fal.ai call
+      const response = await fetch('/api/generate', {
         method: 'POST',
         headers: {
           'Content-Type': 'application/json',
         },
         body: JSON.stringify({
-          protocol: 'https',
-          origin: 'api.openai.com',
-          path: '/v1/images/generations',
-          headers: {
-            'Authorization': `Bearer ${process.env.NEXT_PUBLIC_OPENAI_API_KEY}`,
-            'Content-Type': 'application/json',
-          },
-          method: 'POST',
-          body: JSON.stringify({
-            prompt: `Generate a meme with text: ${inputText}`,
-            n: 1,
-            size: '512x512',
-          }),
+          prompt: inputText,
         }),
       })
 
-      const data = await response.json()
+      if (!response.ok) {
+        throw new Error('Failed to generate image')
+      }
 
-      if (data.data && data.data[0].url) {
+      const result = await response.json()
+      console.log("Generation Response:", result)
+
+      if (result.data && result.data.images && result.data.images[0]?.url) {
         setGenerationState({
           loading: false,
-          imageUrl: data.data[0].url,
+          processing: false,
+          imageUrl: result.data.images[0].url,
           error: null,
         })
       } else {
-        throw new Error('Failed to generate image')
+        throw new Error('No image URL in response')
       }
     } catch (error) {
+      console.error('Generation error:', error)
       setGenerationState({
         ...generationState,
         loading: false,
-        error: 'Failed to generate meme. Please try again.',
+        processing: false,
+        error: error instanceof Error ? error.message : 'Failed to process payment or generate meme.',
       })
     }
   }
@@ -239,7 +250,7 @@ const Page: React.FC = (): React.ReactElement => {
             AI Meme Generator
           </h1>
           <p className="text-lg text-gray-600">
-            Connect your Solflare wallet and pay with MTM tokens to generate custom memes!
+            Connect your Solflare wallet and pay {REQUIRED_PAYMENT_AMOUNT} MTM token per meme generation!
           </p>
         </div>
 
@@ -251,24 +262,11 @@ const Page: React.FC = (): React.ReactElement => {
             >
               Connect Solflare Wallet
             </button>
-          ) : !paymentStatus.paid ? (
+          ) : (
             <div className="space-y-4">
               <p className="text-green-600">
                 Wallet Connected: {walletState.publicKey?.slice(0, 8)}...
               </p>
-              <button
-                onClick={processPayment}
-                disabled={paymentStatus.processing}
-                className="w-full bg-blue-600 text-white py-2 px-4 rounded-md hover:bg-blue-700 transition-colors disabled:bg-blue-300"
-              >
-                {paymentStatus.processing ? 'Processing...' : `Pay ${REQUIRED_PAYMENT_AMOUNT} MTM Tokens`}
-              </button>
-              {paymentStatus.error && (
-                <p className="text-red-600">{paymentStatus.error}</p>
-              )}
-            </div>
-          ) : (
-            <div className="space-y-4">
               <textarea
                 value={inputText}
                 onChange={(e) => setInputText(e.target.value)}
@@ -277,11 +275,13 @@ const Page: React.FC = (): React.ReactElement => {
                 rows={3}
               />
               <button
-                onClick={generateMeme}
-                disabled={generationState.loading || !inputText}
-                className="w-full bg-green-600 text-white py-2 px-4 rounded-md hover:bg-green-700 transition-colors disabled:bg-green-300"
+                onClick={processPaymentAndGenerate}
+                disabled={generationState.processing || generationState.loading || !inputText}
+                className="w-full bg-blue-600 text-white py-2 px-4 rounded-md hover:bg-blue-700 transition-colors disabled:bg-blue-300"
               >
-                {generationState.loading ? 'Generating...' : 'Generate Meme'}
+                {generationState.processing ? 'Processing Payment...' :
+                 generationState.loading ? 'Generating...' :
+                 `Pay ${REQUIRED_PAYMENT_AMOUNT} MTM & Generate Meme`}
               </button>
             </div>
           )}