diff --git a/src/aipass/cli/apps/cli.py b/src/aipass/cli/apps/cli.py
index 100782a7..02b997f1 100755
--- a/src/aipass/cli/apps/cli.py
+++ b/src/aipass/cli/apps/cli.py
@@ -332,6 +332,23 @@ def show_version():
     CONSOLE.print("CLI v0.2.0")
 
 
+def _handle_aipass(args):
+    """Route aipass subcommands."""
+    if not args:
+        error("Missing subcommand", suggestion="Try: drone @cli aipass init")
+        sys.exit(1)
+
+    subcmd = args[0]
+    sub_args = args[1:]
+
+    from aipass.cli.apps.modules.init_project import handle_command
+    if handle_command(subcmd, sub_args):
+        return
+
+    error(f"Unknown aipass subcommand: {subcmd}", suggestion="Try: drone @cli aipass init")
+    sys.exit(1)
+
+
 def main():
     """CLI branch entry point - shows available services"""
 
@@ -350,8 +367,17 @@ def main():
         print_help()
         return
 
-    # Default behavior for other commands
-    print_help()
+    # Route subcommands
+    command = sys.argv[1]
+    cmd_args = sys.argv[2:] if len(sys.argv) > 2 else []
+
+    if command == "aipass":
+        _handle_aipass(cmd_args)
+        return
+
+    # Unknown command
+    error(f"Unknown command: {command}", suggestion="Run 'drone @cli --help' for usage")
+    sys.exit(1)
 
 
 if __name__ == "__main__":
diff --git a/src/aipass/cli/apps/handlers/init/__init__.py b/src/aipass/cli/apps/handlers/init/__init__.py
new file mode 100644
index 00000000..e69de29b
diff --git a/src/aipass/cli/apps/handlers/init/bootstrap.py b/src/aipass/cli/apps/handlers/init/bootstrap.py
new file mode 100644
index 00000000..3d297839
--- /dev/null
+++ b/src/aipass/cli/apps/handlers/init/bootstrap.py
@@ -0,0 +1,174 @@
+# =================== AIPass ====================
+# Name: bootstrap.py
+# Description: Init handler — bootstrap an AIPass project in any directory
+# Version: 1.0.0
+# Created: 2026-03-14
+# Modified: 2026-03-14
+# =============================================
+
+"""
+Init Bootstrap Handler - PRIVATE implementation
+
+Business logic for `aipass init`. Creates the project scaffold:
+  1. {NAME}_REGISTRY.json  — project registry with UUID
+  2. .trinity/passport.json — project identity
+  3. .trinity/local.json    — local context (empty)
+  4. .trinity/observations.json — observations (empty)
+  5. .aipass/aipass_local_prompt.md — local prompt
+  6. AIPASS.md — project prompt
+
+RULES:
+  - Pure Python only (no module/prax/cli imports)
+  - Returns dict, raises exceptions on errors
+  - No hardcoded paths
+"""
+
+import json
+import re
+import uuid
+from datetime import date
+from pathlib import Path
+
+
+def _sanitize_name(raw: str) -> str:
+    """Sanitize a project name for use in filenames.
+
+    Replaces non-alphanumeric characters (except underscore/hyphen) with
+    underscores and strips leading/trailing underscores.
+    """
+    return re.sub(r"[^A-Z0-9_-]", "_", raw.upper()).strip("_")
+
+
+def init_project(target: Path, project_name: str | None = None) -> dict:
+    """Initialize an AIPass project in the target directory.
+
+    Args:
+        target: Directory to initialize
+        project_name: Name for the registry (defaults to directory name)
+
+    Returns:
+        dict with registry_id, registry_file, project_name, target, created_files
+
+    Raises:
+        ValueError: If project name is empty after sanitization
+        FileExistsError: If passport or registry already exists
+    """
+    target = target.resolve()
+    if not target.exists():
+        target.mkdir(parents=True)
+
+    raw_name = project_name or target.name
+    name = _sanitize_name(raw_name)
+    if not name:
+        raise ValueError(
+            f"Cannot derive project name from '{raw_name}'. "
+            "Pass a project name explicitly."
+        )
+
+    registry_id = str(uuid.uuid4())
+    today = date.today().isoformat()
+    created = []
+
+    # 1. Registry
+    registry_filename = f"{name}_REGISTRY.json"
+    registry_path = target / registry_filename
+    if registry_path.exists():
+        raise FileExistsError(f"Registry already exists: {registry_path}")
+
+    registry_data = {
+        "metadata": {
+            "id": registry_id,
+            "name": name,
+            "version": "1.0.0",
+            "created": today,
+            "last_updated": today,
+            "total_branches": 0,
+        },
+        "branches": [],
+    }
+    registry_path.write_text(
+        json.dumps(registry_data, indent=2, ensure_ascii=False) + "\n",
+        encoding="utf-8",
+    )
+    created.append(str(registry_path))
+
+    # 2. .trinity/
+    trinity_dir = target / ".trinity"
+    trinity_dir.mkdir(exist_ok=True)
+
+    passport = {
+        "document_metadata": {
+            "document_type": "project_identity",
+            "document_name": f"{name}.PASSPORT",
+            "version": "1.0.0",
+            "created": today,
+            "last_updated": today,
+        },
+        "identity": {
+            "project_name": name,
+            "role": "project_root",
+            "purpose": "",
+        },
+        "citizenship": {
+            "registered": True,
+            "registry_id": registry_id,
+            "registry_name": name,
+        },
+    }
+    passport_path = trinity_dir / "passport.json"
+    if passport_path.exists():
+        raise FileExistsError(
+            f"Passport already exists: {passport_path}. "
+            "Remove .trinity/passport.json to re-initialize."
+        )
+    passport_path.write_text(
+        json.dumps(passport, indent=2, ensure_ascii=False) + "\n",
+        encoding="utf-8",
+    )
+    created.append(str(passport_path))
+
+    # local.json + observations.json
+    for filename in ("local.json", "observations.json"):
+        p = trinity_dir / filename
+        if not p.exists():
+            p.write_text("{}\n", encoding="utf-8")
+            created.append(str(p))
+
+    # 3. .aipass/
+    aipass_dir = target / ".aipass"
+    aipass_dir.mkdir(exist_ok=True)
+
+    prompt_path = aipass_dir / "aipass_local_prompt.md"
+    if not prompt_path.exists():
+        prompt_path.write_text(
+            f"# {name} — Local Prompt\n\nInjected every turn. Add project-specific context here.\n",
+            encoding="utf-8",
+        )
+        created.append(str(prompt_path))
+
+    # 4. AIPASS.md
+    aipass_md = target / "AIPASS.md"
+    if not aipass_md.exists():
+        aipass_md.write_text(
+            "# AIPass — Project Prompt\n\n"
+            "Project-level instructions. Persists in context for the entire conversation.\n\n"
+            "## Startup\n\n"
+            "On any greeting, silently read these files from CWD and run the commands "
+            "— no narration, no announcing steps. Just do it and respond with the status.\n\n"
+            "**Read:** `.trinity/passport.json`, `.trinity/local.json`, "
+            "`.trinity/observations.json`, `README.md`\n"
+            "**Run:** `git status`\n\n"
+            "## Memories\n\n"
+            "Update `.trinity/` at natural breakpoints, after milestones, and on `/memo`. "
+            "If compaction hits before you save, it's gone.\n",
+            encoding="utf-8",
+        )
+        created.append(str(aipass_md))
+
+    return {
+        "registry_id": registry_id,
+        "registry_file": registry_filename,
+        "project_name": name,
+        "target": str(target),
+        "created_files": created,
+    }
diff --git a/src/aipass/cli/apps/modules/init_project.py b/src/aipass/cli/apps/modules/init_project.py
new file mode 100644
index 00000000..28f00838
--- /dev/null
+++ b/src/aipass/cli/apps/modules/init_project.py
@@ -0,0 +1,165 @@
+# =================== AIPass ====================
+# Name: init_project.py
+# Description: Init Project Module — orchestration layer for aipass init
+# Version: 1.0.0
+# Created: 2026-03-14
+# Modified: 2026-03-14
+# =============================================
+
+"""
+Init Project Module - PUBLIC API
+
+Thin orchestration module for the `aipass init` command.
+Routes to the init bootstrap handler for business logic.
+
+Usage:
+    drone @cli aipass init [target_dir] [project_name]
+"""
+
+import os
+import sys
+from pathlib import Path
+from typing import List
+
+from aipass.cli.apps.handlers.init.bootstrap import init_project
+from aipass.cli.apps.modules.display import console, success, error, header
+
+
+# =============================================================================
+# MODULE PATTERN FUNCTIONS (SEED compliant)
+# =============================================================================
+
+def print_introspection():
+    """Display module info and connected handlers."""
+    console.print()
+    console.print("[bold cyan]Init Project Module[/bold cyan]")
+    console.print()
+    console.print("[dim]Bootstrap an AIPass project in any directory[/dim]")
+    console.print()
+
+    console.print("[yellow]Connected Handlers:[/yellow]")
+    console.print()
+    console.print("  [cyan]handlers/init/[/cyan]")
+    console.print("    [dim]- bootstrap.py[/dim]")
+    console.print()
+
+    console.print("[dim]Run 'drone @cli aipass init --help' for usage[/dim]")
+    console.print()
+
+
+def print_help():
+    """Display help for the init command."""
+    console.print()
+    header("aipass init - Project Bootstrap")
+    console.print("[dim]Initialize an AIPass project in any directory[/dim]")
+    console.print()
+
+    console.print("[bold cyan]USAGE:[/bold cyan]")
+    console.print()
+    console.print("  [dim]drone @cli aipass init[/dim]                    Initialize in current directory")
+    console.print("  [dim]drone @cli aipass init /path/to/dir[/dim]       Initialize in target directory")
+    console.print("  [dim]drone @cli aipass init /path/to/dir MyProj[/dim] Initialize with custom name")
+    console.print()
+
+    console.print("[bold cyan]WHAT IT CREATES:[/bold cyan]")
+    console.print()
+    console.print("  [green]1.[/green] {NAME}_REGISTRY.json      Project registry with UUID")
+    console.print("  [green]2.[/green] .trinity/passport.json     Project identity")
+    console.print("  [green]3.[/green] .trinity/local.json        Local context (empty)")
+    console.print("  [green]4.[/green] .trinity/observations.json Observations (empty)")
+    console.print("  [green]5.[/green] .aipass/aipass_local_prompt.md  Local prompt")
+    console.print("  [green]6.[/green] AIPASS.md                  Project prompt")
+    console.print()
+
+    console.print("[dim]Commands: init, init --help[/dim]")
+    console.print()
+
+
+def handle_command(command: str, args: List[str]) -> bool:
+    """Handle 'init' command.
+
+    Args:
+        command: The subcommand string (e.g. "init")
+        args: Remaining positional arguments after the subcommand
+
+    Returns:
+        True if the command was handled, False otherwise
+    """
+    if command != "init":
+        return False
+
+    # Handle help flag
+    if args and args[0] in ("--help", "-h", "help"):
+        print_help()
+        return True
+
+    # Parse positional args: [target_dir] [project_name]
+    caller_cwd = os.environ.get("AIPASS_CALLER_CWD", os.getcwd())
+    target = Path(args[0]) if args else Path(caller_cwd)
+    project_name = args[1] if len(args) > 1 else None
+
+    try:
+        result = init_project(target, project_name)
+    except ValueError as exc:
+        error(str(exc), suggestion="Pass a project name explicitly")
+        sys.exit(1)
+    except FileExistsError as exc:
+        error(str(exc), suggestion="Remove the existing file to re-initialize")
+        sys.exit(1)
+    except OSError as exc:
+        error(f"Filesystem error: {exc}")
+        sys.exit(1)
+
+    # Display results
+    header("Project Initialized")
+    console.print(f"  [bold]{result['project_name']}[/bold]")
+    console.print()
+    success(
+        f"Created {len(result['created_files'])} files",
+        registry=f"{result['registry_file']} (id: {result['registry_id'][:8]}...)",
+        target=result["target"],
+    )
+    console.print()
+    console.print("[dim]Files created:[/dim]")
+    for f in result["created_files"]:
+        console.print(f"  [dim]{f}[/dim]")
+    console.print()
+
+    return True
+
+
+# =============================================================================
+# MODULE EXPORTS
+# =============================================================================
+
+__all__ = [
+    "handle_command",
+]
+
+
+# =============================================================================
+# ENTRY POINT (SEED pattern)
+# =============================================================================
+
+if __name__ == "__main__":
+    try:
+        if len(sys.argv) == 1:
+            print_introspection()
+            sys.exit(0)
+
+        if sys.argv[1] in ("--help", "-h", "help"):
+            print_help()
+            sys.exit(0)
+
+        command = sys.argv[1]
+        cmd_args = sys.argv[2:] if len(sys.argv) > 2 else []
+
+        if handle_command(command, cmd_args):
+            sys.exit(0)
+        else:
+            console.print(f"[red]Unknown command: {command}[/red]")
+            console.print("[dim]Run 'python3 init_project.py --help' for usage[/dim]")
+            sys.exit(1)
+    except Exception as e:
+        console.print(f"[red]Error: {e}[/red]")
+        sys.exit(1)