diff --git a/examples/sdk-core/README.md b/examples/sdk-core/README.md
index ad24a49..d3b1059 100644
--- a/examples/sdk-core/README.md
+++ b/examples/sdk-core/README.md
@@ -114,8 +114,10 @@ realtimeClient.disconnect();
 const realtimeClient = await client.realtime.connect(null, {
   model: models.realtime("live_avatar"),
   onRemoteStream: (videoStream) => { ... },
-  avatar: { avatarImage: "https://example.com/avatar.png" },
-  initialState: { prompt: { text: "A friendly assistant", enhance: true } },
+  initialState: {
+    image: "https://example.com/avatar.png",
+    prompt: { text: "A friendly assistant", enhance: true },
+  },
 });
 await realtimeClient.playAudio(audioBlob);
 
@@ -124,7 +126,9 @@ const micStream = await navigator.mediaDevices.getUserMedia({ audio: true, video
 const realtimeClient = await client.realtime.connect(micStream, {
   model: models.realtime("live_avatar"),
   onRemoteStream: (videoStream) => { ... },
-  avatar: { avatarImage: avatarFile },
-  initialState: { prompt: { text: "A friendly assistant", enhance: true } },
+  initialState: {
+    image: avatarFile,
+    prompt: { text: "A friendly assistant", enhance: true },
+  },
 });
 ```
diff --git a/examples/sdk-core/realtime/live-avatar.ts b/examples/sdk-core/realtime/live-avatar.ts
index 9d55584..10cb72e 100644
--- a/examples/sdk-core/realtime/live-avatar.ts
+++ b/examples/sdk-core/realtime/live-avatar.ts
@@ -22,10 +22,8 @@ async function withPlayAudio() {
       const video = document.getElementById("output") as HTMLVideoElement;
       video.srcObject = videoStream;
     },
-    avatar: {
-      avatarImage: "https://example.com/avatar.png", // or File/Blob
-    },
     initialState: {
+      image: "https://example.com/avatar.png", // or File/Blob
       prompt: { text: "A friendly assistant", enhance: true },
     },
   });
@@ -63,10 +61,8 @@ async function withMicInput() {
       const video = document.getElementById("output") as HTMLVideoElement;
       video.srcObject = videoStream;
     },
-    avatar: {
-      avatarImage: "https://example.com/avatar.png",
-    },
     initialState: {
+      image: "https://example.com/avatar.png",
       prompt: { text: "A friendly assistant", enhance: true },
     },
   });
diff --git a/packages/sdk/index.html b/packages/sdk/index.html
index fbe0c4c..fe1fd0d 100644
--- a/packages/sdk/index.html
+++ b/packages/sdk/index.html
@@ -498,6 +498,13 @@ <h3>Console Logs</h3>
                 
                 addLog('Connecting to Decart server...', 'info');
                 
+                // Load initial reference image for models that support it
+                let initialImage;
+                if (model.name === 'lucy_2_rt' || model.name === 'mirage_v2') {
+                    const initialImageResponse = await fetch('./tests/fixtures/image.png');
+                    initialImage = await initialImageResponse.blob();
+                }
+
                 decartRealtime = await decartClient.realtime.connect(localStream, {
                     model,
                     onRemoteStream: (stream) => {
@@ -507,7 +514,8 @@ <h3>Console Logs</h3>
                     initialState: {
                         prompt: {
                             text: "Lego World",
-                        }
+                        },
+                        ...(initialImage && { image: initialImage }),
                     }
                 });
                 
diff --git a/packages/sdk/src/index.ts b/packages/sdk/src/index.ts
index 0a86932..6f2b506 100644
--- a/packages/sdk/src/index.ts
+++ b/packages/sdk/src/index.ts
@@ -18,7 +18,6 @@ export type {
   QueueSubmitOptions,
 } from "./queue/types";
 export type {
-  AvatarOptions,
   Events as RealTimeEvents,
   RealTimeClient,
   RealTimeClientConnectOptions,
diff --git a/packages/sdk/src/realtime/client.ts b/packages/sdk/src/realtime/client.ts
index 017239c..498dd12 100644
--- a/packages/sdk/src/realtime/client.ts
+++ b/packages/sdk/src/realtime/client.ts
@@ -1,5 +1,5 @@
 import { z } from "zod";
-import { modelDefinitionSchema } from "../shared/model";
+import { modelDefinitionSchema, type RealTimeModels } from "../shared/model";
 import { modelStateSchema } from "../shared/types";
 import { createWebrtcError, type DecartSDKError } from "../utils/errors";
 import { AudioStreamManager } from "./audio-stream-manager";
@@ -80,11 +80,6 @@ export type RealTimeClientInitialState = z.infer<typeof realTimeClientInitialSta
 const createAsyncFunctionSchema = <T extends z.core.$ZodFunction>(schema: T) =>
   z.custom<Parameters<T["implementAsync"]>[0]>((fn) => schema.implementAsync(fn as Parameters<T["implementAsync"]>[0]));
 
-const avatarOptionsSchema = z.object({
-  avatarImage: z.union([z.instanceof(Blob), z.instanceof(File), z.string()]),
-});
-export type AvatarOptions = z.infer<typeof avatarOptionsSchema>;
-
 const realTimeClientConnectOptionsSchema = z.object({
   model: modelDefinitionSchema,
   onRemoteStream: z.custom<OnRemoteStreamFn>((val) => typeof val === "function", {
@@ -92,7 +87,6 @@ const realTimeClientConnectOptionsSchema = z.object({
   }),
   initialState: realTimeClientInitialStateSchema.optional(),
   customizeOffer: createAsyncFunctionSchema(z.function()).optional(),
-  avatar: avatarOptionsSchema.optional(),
 });
 export type RealTimeClientConnectOptions = z.infer<typeof realTimeClientConnectOptionsSchema>;
 
@@ -133,7 +127,7 @@ export const createRealTimeClient = (opts: RealTimeClientOptions) => {
 
     const isAvatarLive = options.model.name === "live_avatar";
 
-    const { onRemoteStream, initialState, avatar } = parsedOptions.data;
+    const { onRemoteStream, initialState } = parsedOptions.data;
 
     // For live_avatar without user-provided stream: create AudioStreamManager for continuous silent stream with audio injection
     // If user provides their own stream (e.g., mic input), use it directly
@@ -150,26 +144,16 @@ export const createRealTimeClient = (opts: RealTimeClientOptions) => {
     let webrtcManager: WebRTCManager | undefined;
 
     try {
-      // For live_avatar: prepare avatar image base64 before connection
-      let avatarImageBase64: string | undefined;
-      if (isAvatarLive && avatar?.avatarImage) {
-        if (typeof avatar.avatarImage === "string") {
-          const response = await fetch(avatar.avatarImage);
-          if (!response.ok) {
-            throw new Error(`Failed to fetch image: ${response.status} ${response.statusText}`);
+      // Prepare initial image base64 before connection
+      const initialImage = initialState?.image ? await imageToBase64(initialState.image) : undefined;
+
+      // Prepare initial prompt to send via WebSocket before WebRTC handshake
+      const initialPrompt = initialState?.prompt
+        ? {
+            text: initialState.prompt.text,
+            enhance: initialState.prompt.enhance,
           }
-          const imageBlob = await response.blob();
-          avatarImageBase64 = await blobToBase64(imageBlob);
-        } else {
-          avatarImageBase64 = await blobToBase64(avatar.avatarImage);
-        }
-      }
-
-      // For live_avatar: prepare initial prompt to send before WebRTC handshake
-      const initialPrompt =
-        isAvatarLive && initialState?.prompt
-          ? { text: initialState.prompt.text, enhance: initialState.prompt.enhance }
-          : undefined;
+        : undefined;
 
       const url = `${baseUrl}${options.model.urlPath}`;
 
@@ -189,8 +173,8 @@ export const createRealTimeClient = (opts: RealTimeClientOptions) => {
         customizeOffer: options.customizeOffer as ((offer: RTCSessionDescriptionInit) => Promise<void>) | undefined,
         vp8MinBitrate: 300,
         vp8StartBitrate: 600,
-        isAvatarLive,
-        avatarImageBase64,
+        modelName: options.model.name as RealTimeModels,
+        initialImage,
         initialPrompt,
       });
 
@@ -213,12 +197,6 @@ export const createRealTimeClient = (opts: RealTimeClientOptions) => {
 
       const methods = realtimeMethods(manager, imageToBase64);
 
-      // For non-live_avatar models: send initial prompt after connection is established
-      if (!isAvatarLive && initialState?.prompt) {
-        const { text, enhance } = initialState.prompt;
-        await methods.setPrompt(text, { enhance });
-      }
-
       const client: RealTimeClient = {
         set: methods.set,
         setPrompt: methods.setPrompt,
diff --git a/packages/sdk/src/realtime/webrtc-connection.ts b/packages/sdk/src/realtime/webrtc-connection.ts
index a412615..000936c 100644
--- a/packages/sdk/src/realtime/webrtc-connection.ts
+++ b/packages/sdk/src/realtime/webrtc-connection.ts
@@ -1,4 +1,5 @@
 import mitt from "mitt";
+import type { RealTimeModels } from "../shared/model";
 import { buildUserAgent } from "../utils/user-agent";
 import type {
   ConnectionState,
@@ -21,8 +22,8 @@ interface ConnectionCallbacks {
   customizeOffer?: (offer: RTCSessionDescriptionInit) => Promise<void>;
   vp8MinBitrate?: number;
   vp8StartBitrate?: number;
-  isAvatarLive?: boolean;
-  avatarImageBase64?: string;
+  modelName?: RealTimeModels;
+  initialImage?: string;
   initialPrompt?: { text: string; enhance?: boolean };
 }
 
@@ -96,12 +97,17 @@ export class WebRTCConnection {
         connectAbort,
       ]);
 
-      // Phase 2: Pre-handshake setup (avatar image + initial prompt)
+      // Phase 2: Pre-handshake setup (initial image and/or prompt)
       // connectionReject is already active, so ws.onclose or server errors abort these too
-      if (this.callbacks.avatarImageBase64) {
-        await Promise.race([this.sendAvatarImage(this.callbacks.avatarImageBase64), connectAbort]);
-      }
-      if (this.callbacks.initialPrompt) {
+      if (this.callbacks.initialImage) {
+        await Promise.race([
+          this.setImageBase64(this.callbacks.initialImage, {
+            prompt: this.callbacks.initialPrompt?.text,
+            enhance: this.callbacks.initialPrompt?.enhance,
+          }),
+          connectAbort,
+        ]);
+      } else if (this.callbacks.initialPrompt) {
         await Promise.race([this.sendInitialPrompt(this.callbacks.initialPrompt), connectAbort]);
       }
 
@@ -228,16 +234,6 @@ export class WebRTCConnection {
     return false;
   }
 
-  private async sendAvatarImage(imageBase64: string): Promise<void> {
-    return this.setImageBase64(imageBase64);
-  }
-
-  /**
-   * Send an image to the server (e.g., as a reference for inference).
-   * Can be called after connection is established.
-   * Pass null to clear the reference image or use a placeholder.
-   * Optionally include a prompt to send with the image.
-   */
   async setImageBase64(
     imageBase64: string | null,
     options?: { prompt?: string; enhance?: boolean; timeout?: number },
@@ -260,7 +256,12 @@ export class WebRTCConnection {
 
       this.websocketMessagesEmitter.on("setImageAck", listener);
 
-      const message: { type: "set_image"; image_data: string | null; prompt?: string; enhance_prompt?: boolean } = {
+      const message: {
+        type: "set_image";
+        image_data: string | null;
+        prompt?: string;
+        enhance_prompt?: boolean;
+      } = {
         type: "set_image",
         image_data: imageBase64,
       };
@@ -304,7 +305,13 @@ export class WebRTCConnection {
 
       this.websocketMessagesEmitter.on("promptAck", listener);
 
-      if (!this.send({ type: "prompt", prompt: prompt.text, enhance_prompt: prompt.enhance ?? true })) {
+      if (
+        !this.send({
+          type: "prompt",
+          prompt: prompt.text,
+          enhance_prompt: prompt.enhance ?? true,
+        })
+      ) {
         clearTimeout(timeoutId);
         this.websocketMessagesEmitter.off("promptAck", listener);
         reject(new Error("WebSocket is not open"));
@@ -341,7 +348,7 @@ export class WebRTCConnection {
 
     if (this.localStream) {
       // For live_avatar: add receive-only video transceiver (sends audio only, receives audio+video)
-      if (this.callbacks.isAvatarLive) {
+      if (this.callbacks.modelName === "live_avatar") {
         this.pc.addTransceiver("video", { direction: "recvonly" });
       }
 
diff --git a/packages/sdk/src/realtime/webrtc-manager.ts b/packages/sdk/src/realtime/webrtc-manager.ts
index f2ae2c7..b29b276 100644
--- a/packages/sdk/src/realtime/webrtc-manager.ts
+++ b/packages/sdk/src/realtime/webrtc-manager.ts
@@ -1,4 +1,5 @@
 import pRetry, { AbortError } from "p-retry";
+import type { RealTimeModels } from "../shared/model";
 import type { ConnectionState, OutgoingMessage } from "./types";
 import { WebRTCConnection } from "./webrtc-connection";
 
@@ -11,8 +12,8 @@ export interface WebRTCConfig {
   customizeOffer?: (offer: RTCSessionDescriptionInit) => Promise<void>;
   vp8MinBitrate?: number;
   vp8StartBitrate?: number;
-  isAvatarLive?: boolean;
-  avatarImageBase64?: string;
+  modelName?: RealTimeModels;
+  initialImage?: string;
   initialPrompt?: { text: string; enhance?: boolean };
 }
 
@@ -54,8 +55,8 @@ export class WebRTCManager {
       customizeOffer: config.customizeOffer,
       vp8MinBitrate: config.vp8MinBitrate,
       vp8StartBitrate: config.vp8StartBitrate,
-      isAvatarLive: config.isAvatarLive,
-      avatarImageBase64: config.avatarImageBase64,
+      modelName: config.modelName,
+      initialImage: config.initialImage,
       initialPrompt: config.initialPrompt,
     });
   }
diff --git a/packages/sdk/src/shared/types.ts b/packages/sdk/src/shared/types.ts
index c725c93..37f7d0a 100644
--- a/packages/sdk/src/shared/types.ts
+++ b/packages/sdk/src/shared/types.ts
@@ -7,5 +7,6 @@ export const modelStateSchema = z.object({
       enhance: z.boolean().optional().default(true),
     })
     .optional(),
+  image: z.union([z.instanceof(Blob), z.instanceof(File), z.string()]).optional(),
 });
 export type ModelState = z.infer<typeof modelStateSchema>;
diff --git a/packages/sdk/tests/unit.test.ts b/packages/sdk/tests/unit.test.ts
index bcf4623..eecc208 100644
--- a/packages/sdk/tests/unit.test.ts
+++ b/packages/sdk/tests/unit.test.ts
@@ -1084,7 +1084,7 @@ describe("WebRTCConnection", () => {
 });
 
 describe("RealTimeClient cleanup", () => {
-  it("cleans up AudioStreamManager when avatar fetch fails before WebRTC connect", async () => {
+  it("cleans up AudioStreamManager when initial image fetch fails before WebRTC connect", async () => {
     class FakeAudioContext {
       createMediaStreamDestination() {
         return { stream: {} };
@@ -1121,7 +1121,7 @@ describe("RealTimeClient cleanup", () => {
         realtime.connect(null, {
           model: models.realtime("live_avatar"),
           onRemoteStream: vi.fn(),
-          avatar: { avatarImage: "https://example.com/avatar.png" },
+          initialState: { image: "https://example.com/avatar.png" },
         }),
       ).rejects.toThrow("Failed to fetch image: 404 Not Found");
 
@@ -1705,11 +1705,22 @@ describe("WebSockets Connection", () => {
 
     const connectSpy = vi.spyOn(WebRTCManager.prototype, "connect").mockImplementation(async function () {
       const manager = this as unknown as {
-        config: { onConnectionStateChange?: (state: import("../src/realtime/types").ConnectionState) => void };
+        config: {
+          onConnectionStateChange?: (state: import("../src/realtime/types").ConnectionState) => void;
+          initialPrompt?: { text: string; enhance?: boolean };
+        };
         managerState: import("../src/realtime/types").ConnectionState;
       };
       manager.managerState = "connected";
       manager.config.onConnectionStateChange?.("connected");
+
+      // Simulate initial prompt sent via WebSocket during connection setup
+      if (manager.config.initialPrompt) {
+        await new Promise((resolve) => setTimeout(resolve, 0));
+        manager.managerState = "generating";
+        manager.config.onConnectionStateChange?.("generating");
+      }
+
       return true;
     });
     const stateSpy = vi.spyOn(WebRTCManager.prototype, "getConnectionState").mockImplementation(function () {