diff --git a/CHANGELOG.md b/CHANGELOG.md
index 8535b45f..6ce0c35b 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -19,6 +19,7 @@
 - Users can now use emails in ACL's groups [#372](https://github.com/juanfont/headscale/issues/372)
 - Add shorthand aliases for commands and subcommands [#376](https://github.com/juanfont/headscale/pull/376)
 - Add `/windows` endpoint for Windows configuration instructions + registry file download [#392](https://github.com/juanfont/headscale/pull/392)
+- Added embedded DERP server into Headscale [#388](https://github.com/juanfont/headscale/pull/388)
 
 ### Changes
 
diff --git a/README.md b/README.md
index 1b97b1aa..ec66b086 100644
--- a/README.md
+++ b/README.md
@@ -63,6 +63,7 @@ one of the maintainers.
 - Dual stack (IPv4 and IPv6)
 - Routing advertising (including exit nodes)
 - Ephemeral nodes
+- Embedded [DERP server](https://tailscale.com/blog/how-tailscale-works/#encrypted-tcp-relays-derp)
 
 ## Client OS support