diff --git a/README.md b/README.md
index de24809a035..c382bb89d2f 100644
--- a/README.md
+++ b/README.md
@@ -197,12 +197,28 @@ documentation lives in
 
 ## Project status
 
-Actively developed. Verified working end-to-end: the MCP server and auth,
-IDE-state sync, sketch create/read/write with live editor reload, compile with
-real captured output, and all read-only tools. Upload and live serial are
-implemented and need a physical board to fully exercise. The Windows build is
-verified from source and installed; the macOS and Linux release builds are newer
-and still being hardened.
+Actively developed, and **verified against real hardware** — an ESP32-S3
+(N16R8) driven end to end through the MCP tools alone:
+
+> install the board core → create a sketch → write the code → compile →
+> upload → read the board's own serial output
+
+Every step ran as an MCP call, with no manual work in the IDE. In one pass the
+agent wrote a WiFi scanner, flashed it, and read 21 access points back off the
+board.
+
+That session is also where the current release's fixes came from — uploading a
+never-compiled sketch, serial baud rates silently not applying, and boards
+whose core isn't installed being invisible to the agent were all found by
+driving a physical board, not by reading code.
+
+Release builds for **Windows, macOS and Linux** are produced by CI and attached
+to every tagged release.
+
+**Known limits:** artifacts are unsigned. Boards whose USB VID/PID appear in no
+`boards.txt` (many ESP32-S3 devkits) can't be auto-identified — pass an explicit
+FQBN. Uploading over a board's *native* USB port can require manual bootloader
+entry; a UART bridge port works without it.
 
 Contributions and bug reports are welcome via
 [Issues](https://github.com/mixelpixx/arduino-mcp/issues) and pull requests.
diff --git a/arduino-mcp-extension/package.json b/arduino-mcp-extension/package.json
index ed90775e359..65935f697f0 100644
--- a/arduino-mcp-extension/package.json
+++ b/arduino-mcp-extension/package.json
@@ -1,6 +1,6 @@
 {
   "name": "arduino-mcp-extension",
-  "version": "0.5.3",
+  "version": "0.5.4",
   "description": "MCP (Model Context Protocol) server embedded in Arduino IDE - HTTP/SSE transport",
   "license": "AGPL-3.0-or-later",
   "main": "lib/node/arduino-mcp-backend-module",
diff --git a/electron-app/package.json b/electron-app/package.json
index dd78b2ef9ba..1be0e503654 100644
--- a/electron-app/package.json
+++ b/electron-app/package.json
@@ -20,7 +20,7 @@
     "@theia/terminal": "1.57.0",
     "@theia/workspace": "1.57.0",
     "arduino-ide-extension": "2.3.10",
-    "arduino-mcp-extension": "0.5.3"
+    "arduino-mcp-extension": "0.5.4"
   },
   "devDependencies": {
     "7zip-min": "^1.4.4",
diff --git a/yarn.lock b/yarn.lock
index 1e9f31a34cd..dfdf6e5f921 100644
--- a/yarn.lock
+++ b/yarn.lock
@@ -5403,7 +5403,7 @@ __metadata:
   languageName: unknown
   linkType: soft
 
-"arduino-mcp-extension@npm:0.5.3, arduino-mcp-extension@workspace:arduino-mcp-extension":
+"arduino-mcp-extension@npm:0.5.4, arduino-mcp-extension@workspace:arduino-mcp-extension":
   version: 0.0.0-use.local
   resolution: "arduino-mcp-extension@workspace:arduino-mcp-extension"
   dependencies:
@@ -8275,7 +8275,7 @@ __metadata:
     "@theia/terminal": "npm:1.57.0"
     "@theia/workspace": "npm:1.57.0"
     arduino-ide-extension: "npm:2.3.10"
-    arduino-mcp-extension: "npm:0.5.3"
+    arduino-mcp-extension: "npm:0.5.4"
     chmodr: "npm:^1.2.0"
     compression-webpack-plugin: "npm:^9.0.0"
     copy-webpack-plugin: "npm:^8.1.1"