diff --git a/README.md b/README.md
index 9fd33ff..62976b0 100644
--- a/README.md
+++ b/README.md
@@ -282,6 +282,76 @@ image_url = imagekit.url({
 https://ik.imagekit.io/your_imagekit_id/tr:h-300,w-400/default-image.jpg?v=123&ik-t=1567358667&ik-s=f2c7cdacbe7707b71a83d49cf1c6110e3d701054
 ```
 
+**4. Adding overlays**
+
+ImageKit.io enables you to apply overlays to [images](https://docs.imagekit.io/features/image-transformations/overlay-using-layers) and [videos](https://docs.imagekit.io/features/video-transformation/overlay) using the raw parameter with the concept of [layers](https://docs.imagekit.io/features/image-transformations/overlay-using-layers#layers). The raw parameter facilitates incorporating transformations directly in the URL. A layer is a distinct type of transformation that allows you to define an asset to serve as an overlay, along with its positioning and additional transformations.
+
+**Text as overlays**
+
+You can add any text string over a base video or image using a text layer (l-text).
+
+For example:
+
+```ruby
+image_url = imagekit.url({
+    path: "/default-image",
+    url_endpoint: "https://ik.imagekit.io/your_imagekit_id/endpoint/",
+    transformation: [{
+        height: "300",
+        width: "400",
+        raw: "l-text,i-Imagekit,fs-50,l-end"
+    }],
+})
+```
+**Sample Result URL**
+```
+https://ik.imagekit.io/your_imagekit_id/tr:h-300,w-400,l-text,i-Imagekit,fs-50,l-end/default-image.jpg
+```
+
+**Image as overlays**
+
+You can add an image over a base video or image using an image layer (l-image).
+
+For example:
+
+```ruby
+image_url = imagekit.url({
+    path: "/default-image",
+    url_endpoint: "https://ik.imagekit.io/your_imagekit_id/endpoint/",
+    transformation: [{
+        height: "300",
+        width: "400",
+        raw: "l-image,i-default-image.jpg,w-100,b-10_CDDC39,l-end"
+    }],
+})
+```
+**Sample Result URL**
+```
+https://ik.imagekit.io/your_imagekit_id/tr:h-300,w-400,l-image,i-default-image.jpg,w-100,b-10_CDDC39,l-end/default-image.jpg
+```
+
+**Solid color blocks as overlays**
+
+You can add solid color blocks over a base video or image using an image layer (l-image).
+
+For example:
+
+```ruby
+image_url = imagekit.url({
+    path: "/img/sample-video",
+    url_endpoint: "https://ik.imagekit.io/your_imagekit_id/endpoint/",
+    transformation: [{
+        height: "300",
+        width: "400",
+        raw: "l-image,i-ik_canvas,bg-FF0000,w-300,h-100,l-end"
+    }],
+})
+```
+**Sample Result URL**
+```
+https://ik.imagekit.io/your_imagekit_id/tr:h-300,w-400,l-image,i-ik_canvas,bg-FF0000,w-300,h-100,l-end/img/sample-video.mp4
+```
+
 **List of transformations**
 
 The complete list of transformations supported and their usage in ImageKit can be found [here](https://docs.imagekit.io/features/image-transformations/resize-crop-and-other-transformations). The SDK gives a name to each transformation parameter, making the code simpler, making the code simpler, and readable.
@@ -308,34 +378,6 @@ If you want to generate transformations in your application and add them to the
 | rotation | rt |
 | blur | bl |
 | named | n |
-| overlayX | ox |
-| overlayY | oy |
-| overlayFocus | ofo |
-| overlayHeight | oh |
-| overlayWidth | ow |
-| overlayImage | oi |
-| overlayImageTrim | oit |
-| overlayImageAspectRatio | oiar |
-| overlayImageBackground | oibg |
-| overlayImageBorder | oib |
-| overlayImageDPR | oidpr |
-| overlayImageQuality | oiq |
-| overlayImageCropping | oic |
-| overlayImageTrim | oit |
-| overlayText | ot |
-| overlayTextFontSize | ots |
-| overlayTextFontFamily | otf |
-| overlayTextColor | otc |
-| overlayTextTransparency | oa |
-| overlayAlpha | oa |
-| overlayTextTypography | ott |
-| overlayBackground | obg |
-| overlayTextEncoded | ote |
-| overlayTextWidth | otw |
-| overlayTextBackground | otbg |
-| overlayTextPadding | otp |
-| overlayTextInnerAlignment | otia |
-| overlayRadius | or |
 | progressive | pr |
 | lossless | lo |
 | trim | t |