diff --git a/.dockerignore b/.dockerignore
index 6d09bb2128..fae28f2680 100644
--- a/.dockerignore
+++ b/.dockerignore
@@ -1,15 +1,31 @@
-Dockerfile
-.github
-.git
 .*
+.git
+.github
+.github
+.idea
+.vscode
+.waypoint
 *.bat
+*.log
 *.md
 *.png
 *.toml
+*.tpl
+*.hcl
+contracts/wasm
+Dockerfile
+docOps/
+documentation
+evmemulator
+gascalibration
+packages/snapshot
+packges/vm/wasmlib
+schema
+snapshot
+tools
+wal
 wasp
 wasp-cli
-*.log
-waspdb/
-docOps/
-tools/devnet
-tools/cluster
\ No newline at end of file
+wasp-cluster
+waspdb
+
diff --git a/Dockerfile b/Dockerfile
index 059b889cd5..7bbea96eac 100644
--- a/Dockerfile
+++ b/Dockerfile
@@ -7,6 +7,7 @@ ARG BUILD_LD_FLAGS=""
 ARG BUILD_TARGET="./..."
 
 WORKDIR /wasp
+RUN mkdir waspdb
 
 # Make sure that modules only get pulled when the module file has changed
 COPY go.mod go.sum ./
@@ -16,6 +17,7 @@ RUN go mod verify
 # Project build stage
 COPY . .
 
+
 RUN go build -o . -tags=${BUILD_TAGS} -ldflags="${BUILD_LD_FLAGS}" ${BUILD_TARGET}
 
 ############################
@@ -35,6 +37,7 @@ EXPOSE 4000/udp
 
 # Copy the app dir into distroless image
 COPY --chown=nonroot:nonroot --from=build /wasp/${FINAL_BINARY} /usr/bin/
+COPY --chown=nonroot:nonroot --from=build /wasp/waspdb /waspdb
 
 WORKDIR /usr/bin/
 USER nonroot
diff --git a/tools/devnet/docker-compose.yml b/tools/devnet/docker-compose.yml
index f028f63b6b..fdd5e36058 100644
--- a/tools/devnet/docker-compose.yml
+++ b/tools/devnet/docker-compose.yml
@@ -1,7 +1,7 @@
 version: "3.9"
 services:
   hornet-nest:
-    image: iotaledger/hornet-nest:2.0.0-beta.7
+    image: iotaledger/hornet-nest:2.0.0-beta.8
     networks:
       - wasp-net
     ports:
@@ -14,6 +14,11 @@ services:
     build:
       context: ../../
       dockerfile: Dockerfile
+    command:
+      - "--dashboard.auth.scheme=none"
+      - "--webapi.auth.scheme=none"
+      - "--inx.address=hornet-nest:9029"
+      - "--database.directory=/waspdb"
     container_name: wasp
     depends_on:
       - hornet-nest
@@ -21,7 +26,7 @@ services:
     networks:
       - wasp-net
     volumes:
-      - wasp-db:/wasp/waspdb
+      - wasp-db:/waspdb
       - ./wasp.config.json:/etc/wasp_config.json
     expose:
       - "4000/udp" # Peering