diff --git a/client/src/pages/Events.jsx b/client/src/pages/Events.jsx
index d980c1d..d02429b 100644
--- a/client/src/pages/Events.jsx
+++ b/client/src/pages/Events.jsx
@@ -1,10 +1,17 @@
-import { useState, useEffect, useCallback } from 'react';
+import { useState, useEffect, useCallback, useRef } from 'react';
 import { useParams } from 'react-router-dom';
 import apiClient from '../api/client';
 
 const MAX_SMS_LENGTH = 160;
-const PLACEHOLDER_TOKEN = '{#var#}';
-const PLACEHOLDER_REGEX = /\{#var#\}/g;
+const DLT_VARIABLE_OPTIONS = [
+  { label: '#var', token: '{#var#}' },
+  { label: '#numeric', token: '{#numeric#}' },
+  { label: '#url', token: '{#url#}' },
+  { label: '#cbn', token: '{#cbn#}' },
+];
+const DLT_TOKEN_SET = new Set(DLT_VARIABLE_OPTIONS.map((option) => option.token));
+const DLT_TOKEN_REGEX = /\{#(?:var|numeric|url|cbn)#\}/g;
+const DLT_TOKEN_LIKE_REGEX = /\{#[^{}]*#\}/g;
 
 function getVariantKey(slug, index) {
   return `${slug}:${index}`;
@@ -20,8 +27,21 @@ function createVariantDraft(text = '') {
   };
 }
 
-function countPlaceholders(text = '') {
-  return (String(text).match(PLACEHOLDER_REGEX) || []).length;
+function getDltTokens(text = '') {
+  return String(text).match(DLT_TOKEN_REGEX) || [];
+}
+
+function countDltTokens(text = '') {
+  return getDltTokens(text).length;
+}
+
+function getInvalidDltTokens(text = '') {
+  return (String(text).match(DLT_TOKEN_LIKE_REGEX) || []).filter((token) => !DLT_TOKEN_SET.has(token));
+}
+
+function hasMalformedDltFragments(text = '') {
+  const strippedText = String(text).replace(DLT_TOKEN_LIKE_REGEX, '');
+  return strippedText.includes('{#') || strippedText.includes('#}');
 }
 
 function buildDraftsForVariants(slug, generatedVariants = []) {
@@ -88,9 +108,28 @@ export default function Events() {
   const [variants, setVariants] = useState({});
   const [variantDrafts, setVariantDrafts] = useState({});
   const [selectingVariantKey, setSelectingVariantKey] = useState('');
+  const [openVariableMenuKey, setOpenVariableMenuKey] = useState('');
+  const [activeCaretVariantKey, setActiveCaretVariantKey] = useState('');
   const [error, setError] = useState('');
   const [readyToGenerate, setReadyToGenerate] = useState(false);
 
+  const textareaRefs = useRef({});
+  const selectionStateRef = useRef({});
+  const variableMenuRefs = useRef({});
+
+  useEffect(() => {
+    function handlePointerDown(event) {
+      if (!openVariableMenuKey) return;
+      const activeMenu = variableMenuRefs.current[openVariableMenuKey];
+      if (activeMenu && !activeMenu.contains(event.target)) {
+        setOpenVariableMenuKey('');
+      }
+    }
+
+    document.addEventListener('mousedown', handlePointerDown);
+    return () => document.removeEventListener('mousedown', handlePointerDown);
+  }, [openVariableMenuKey]);
+
   const loadEvents = useCallback(async () => {
     setLoading(true);
     try {
@@ -163,6 +202,8 @@ export default function Events() {
         ...removeDraftsForSlug(currentDrafts, slug),
         ...buildDraftsForVariants(slug, generatedVariants),
       }));
+      setOpenVariableMenuKey('');
+      setActiveCaretVariantKey('');
       setGenState((state) => ({ ...state, [slug]: 'done' }));
     } catch (err) {
       setError(err.response?.data?.error || 'Generation failed');
@@ -225,6 +266,8 @@ export default function Events() {
       await apiClient.post(`/api/businesses/${businessId}/templates/${slug}/select`, { selectedVariant: variant });
       setVariants((currentVariants) => ({ ...currentVariants, [slug]: [] }));
       setVariantDrafts((currentDrafts) => removeDraftsForSlug(currentDrafts, slug));
+      setOpenVariableMenuKey('');
+      setActiveCaretVariantKey('');
       setGenState((state) => ({ ...state, [slug]: 'selected' }));
     } catch (err) {
       setError(err.response?.data?.error || 'Failed to select template');
@@ -257,6 +300,46 @@ export default function Events() {
       ...currentDrafts,
       [variantKey]: createVariantDraft(originalText),
     }));
+    setOpenVariableMenuKey('');
+  }
+
+  function trackTextareaSelection(variantKey, target) {
+    selectionStateRef.current[variantKey] = {
+      start: target.selectionStart ?? 0,
+      end: target.selectionEnd ?? 0,
+    };
+    setActiveCaretVariantKey(variantKey);
+  }
+
+  function handleVariableMenuToggle(variantKey) {
+    setOpenVariableMenuKey((currentKey) => currentKey === variantKey ? '' : variantKey);
+  }
+
+  function insertVariableToken(slug, variantIndex, token) {
+    const variantKey = getVariantKey(slug, variantIndex);
+    const draft = variantDrafts[variantKey] || createVariantDraft(variants[slug]?.[variantIndex] || '');
+    const textarea = textareaRefs.current[variantKey];
+    const selection = selectionStateRef.current[variantKey];
+
+    if (!textarea || !selection) return;
+
+    const start = selection.start ?? 0;
+    const end = selection.end ?? start;
+    const nextText = `${draft.currentText.slice(0, start)}${token}${draft.currentText.slice(end)}`;
+
+    handleVariantChange(slug, variantIndex, nextText);
+    setOpenVariableMenuKey('');
+
+    requestAnimationFrame(() => {
+      const nextCaretPosition = start + token.length;
+      textarea.focus();
+      textarea.setSelectionRange(nextCaretPosition, nextCaretPosition);
+      selectionStateRef.current[variantKey] = {
+        start: nextCaretPosition,
+        end: nextCaretPosition,
+      };
+      setActiveCaretVariantKey(variantKey);
+    });
   }
 
   if (loading) {
@@ -381,20 +464,22 @@ export default function Events() {
                       const validationStatus = draft.validationStatus;
                       const currentMatchesCheckedText = draft.lastCheckedText === currentText;
                       const isEdited = currentText !== originalText;
-                      const placeholderCount = countPlaceholders(currentText);
-                      const originalPlaceholderCount = countPlaceholders(originalText);
-                      const placeholderMismatch = placeholderCount !== originalPlaceholderCount;
+                      const dltTokenCount = countDltTokens(currentText);
+                      const invalidDltTokens = getInvalidDltTokens(currentText);
+                      const hasMalformedDltToken = hasMalformedDltFragments(currentText);
+                      const hasInvalidPlaceholder = invalidDltTokens.length > 0 || hasMalformedDltToken;
                       const tooLong = currentText.length > MAX_SMS_LENGTH;
                       const isSelectingThis = selectingVariantKey === variantKey;
                       const isSelectingAnotherVariant = !!selectingVariantKey
                         && selectingVariantKey !== variantKey
                         && selectingVariantKey.startsWith(`${event.slug}:`);
-                      const canRunCheck = isEdited && !tooLong && !placeholderMismatch && validationStatus !== 'checking';
+                      const canRunCheck = isEdited && !tooLong && !hasInvalidPlaceholder && validationStatus !== 'checking';
                       const canUseEdited = isEdited
                         && validationStatus === 'approved'
                         && currentMatchesCheckedText
                         && !tooLong
-                        && !placeholderMismatch;
+                        && !hasInvalidPlaceholder;
+                      const canInsertVariable = activeCaretVariantKey === variantKey;
 
                       return (
                         <div
@@ -405,37 +490,87 @@ export default function Events() {
                               : 'border-gray-200 hover:border-gray-300'
                           }`}
                         >
-                          <div className="flex flex-wrap items-center gap-2 mb-3">
-                            <span className={`text-[11px] font-bold px-2 py-1 rounded-full border ${
-                              isEdited
-                                ? 'bg-amber-50 border-amber-200 text-amber-700'
-                                : 'bg-gray-50 border-gray-200 text-gray-600'
-                            }`}>
-                              {isEdited ? 'Edited Draft' : 'Original Draft'}
-                            </span>
-
-                            {validationStatus === 'checking' && (
-                              <span className="text-[11px] font-bold px-2 py-1 rounded-full border bg-blue-50 border-blue-200 text-blue-700">
-                                Checking edit…
+                          <div className="flex flex-wrap items-start justify-between gap-3 mb-3">
+                            <div className="flex flex-wrap items-center gap-2">
+                              <span className={`text-[11px] font-bold px-2 py-1 rounded-full border ${
+                                isEdited
+                                  ? 'bg-amber-50 border-amber-200 text-amber-700'
+                                  : 'bg-gray-50 border-gray-200 text-gray-600'
+                              }`}>
+                                {isEdited ? 'Edited Draft' : 'Original Draft'}
                               </span>
-                            )}
 
-                            {validationStatus === 'approved' && currentMatchesCheckedText && (
-                              <span className="text-[11px] font-bold px-2 py-1 rounded-full border bg-green-50 border-green-200 text-green-700">
-                                Edit passed check
-                              </span>
-                            )}
+                              {validationStatus === 'checking' && (
+                                <span className="text-[11px] font-bold px-2 py-1 rounded-full border bg-blue-50 border-blue-200 text-blue-700">
+                                  Checking edit…
+                                </span>
+                              )}
 
-                            {validationStatus === 'rejected' && currentMatchesCheckedText && (
-                              <span className="text-[11px] font-bold px-2 py-1 rounded-full border bg-red-50 border-red-200 text-red-700">
-                                Needs changes
-                              </span>
-                            )}
+                              {validationStatus === 'approved' && currentMatchesCheckedText && (
+                                <span className="text-[11px] font-bold px-2 py-1 rounded-full border bg-green-50 border-green-200 text-green-700">
+                                  Edit passed check
+                                </span>
+                              )}
+
+                              {validationStatus === 'rejected' && currentMatchesCheckedText && (
+                                <span className="text-[11px] font-bold px-2 py-1 rounded-full border bg-red-50 border-red-200 text-red-700">
+                                  Needs changes
+                                </span>
+                              )}
+                            </div>
+
+                            <div
+                              className="relative"
+                              ref={(node) => {
+                                if (node) variableMenuRefs.current[variantKey] = node;
+                                else delete variableMenuRefs.current[variantKey];
+                              }}
+                            >
+                              <button
+                                type="button"
+                                onMouseDown={(e) => e.preventDefault()}
+                                onClick={() => handleVariableMenuToggle(variantKey)}
+                                disabled={!canInsertVariable}
+                                className="text-xs px-3 py-2 rounded-md bg-white border border-indigo-200 text-indigo-700 font-semibold hover:bg-indigo-50 transition disabled:opacity-50 disabled:cursor-not-allowed"
+                              >
+                                # Add Variable
+                              </button>
+
+                              {openVariableMenuKey === variantKey && (
+                                <div className="absolute right-0 z-20 mt-2 w-56 rounded-xl border border-gray-200 bg-white shadow-xl overflow-hidden">
+                                  <div className="px-4 py-3 border-b border-gray-100 bg-gray-50">
+                                    <p className="text-[11px] font-bold uppercase tracking-wider text-gray-500">Insert DLT Variable</p>
+                                  </div>
+                                  <div className="py-1">
+                                    {DLT_VARIABLE_OPTIONS.map((option) => (
+                                      <button
+                                        key={option.token}
+                                        type="button"
+                                        onMouseDown={(e) => e.preventDefault()}
+                                        onClick={() => insertVariableToken(event.slug, index, option.token)}
+                                        className="w-full px-4 py-3 text-left hover:bg-indigo-50 transition flex items-center justify-between gap-3"
+                                      >
+                                        <span className="text-sm font-semibold text-gray-800">{option.label}</span>
+                                        <span className="text-xs font-mono text-indigo-700">{option.token}</span>
+                                      </button>
+                                    ))}
+                                  </div>
+                                </div>
+                              )}
+                            </div>
                           </div>
 
                           <textarea
+                            ref={(node) => {
+                              if (node) textareaRefs.current[variantKey] = node;
+                              else delete textareaRefs.current[variantKey];
+                            }}
                             value={currentText}
                             onChange={(e) => handleVariantChange(event.slug, index, e.target.value)}
+                            onFocus={(e) => trackTextareaSelection(variantKey, e.target)}
+                            onClick={(e) => trackTextareaSelection(variantKey, e.target)}
+                            onSelect={(e) => trackTextareaSelection(variantKey, e.target)}
+                            onKeyUp={(e) => trackTextareaSelection(variantKey, e.target)}
                             rows={4}
                             className={`w-full rounded-xl border px-4 py-3 text-sm text-gray-800 font-mono leading-relaxed resize-y focus:outline-none focus:ring-2 ${
                               isEdited
@@ -445,13 +580,18 @@ export default function Events() {
                           />
 
                           <div className="flex flex-wrap items-center justify-between gap-3 mt-3">
-                            <span className={`text-xs font-semibold px-2.5 py-1 rounded-md border ${
-                              tooLong
-                                ? 'bg-red-50 border-red-200 text-red-700'
-                                : 'bg-gray-100 border-gray-200 text-gray-600'
-                            }`}>
-                              {currentText.length} / {MAX_SMS_LENGTH}
-                            </span>
+                            <div className="flex flex-wrap items-center gap-2">
+                              <span className={`text-xs font-semibold px-2.5 py-1 rounded-md border ${
+                                tooLong
+                                  ? 'bg-red-50 border-red-200 text-red-700'
+                                  : 'bg-gray-100 border-gray-200 text-gray-600'
+                              }`}>
+                                {currentText.length} / {MAX_SMS_LENGTH}
+                              </span>
+                              <span className="text-xs font-semibold px-2.5 py-1 rounded-md border bg-indigo-50 border-indigo-200 text-indigo-700">
+                                DLT vars: {dltTokenCount}
+                              </span>
+                            </div>
 
                             {isEdited && (
                               <button
@@ -470,10 +610,16 @@ export default function Events() {
                             </div>
                           )}
 
-                          {placeholderMismatch && (
+                          {invalidDltTokens.length > 0 && (
                             <div className="mt-3 rounded-lg border border-amber-200 bg-amber-50 px-4 py-3 text-sm text-amber-800">
-                              Keep the same number of <span className="font-mono">{PLACEHOLDER_TOKEN}</span> placeholders.
-                              This draft has {placeholderCount}, while the generated version has {originalPlaceholderCount}.
+                              Unsupported DLT variable token{invalidDltTokens.length > 1 ? 's' : ''}: <span className="font-mono">{invalidDltTokens.join(', ')}</span>.
+                              Use only {DLT_VARIABLE_OPTIONS.map((option) => option.token).join(', ')}.
+                            </div>
+                          )}
+
+                          {hasMalformedDltToken && invalidDltTokens.length === 0 && (
+                            <div className="mt-3 rounded-lg border border-amber-200 bg-amber-50 px-4 py-3 text-sm text-amber-800">
+                              Finish or remove incomplete DLT placeholder text before checking or selecting this edit.
                             </div>
                           )}
 
diff --git a/server/services/openai2.js b/server/services/openai2.js
index 23002c6..032d597 100644
--- a/server/services/openai2.js
+++ b/server/services/openai2.js
@@ -115,8 +115,8 @@ async function processCurl(rawCurl, approvedTemplate, eventSlug) {
         raw_curl: String(rawCurl || ''),
         approved_template: String(approvedTemplate || ''),
         event_slug: String(eventSlug || ''),
-        instructions_text: 'Identify placeholders, map to semantic field names, normalize placeholders in curl to camelCase, and build positional mapping for {#var#} tokens in approved_template.',
-        output_schema_text: 'Return ONLY valid JSON object with exactly these keys: processedCurl (string), variableMap (object where keys are {#var#}[index] and values are field names in camelCase). No extra keys.',
+        instructions_text: 'Identify placeholders, map to semantic field names, normalize placeholders in curl to camelCase, and build positional mapping for DLT placeholder tokens in approved_template. Supported token types include {#var#}, {#numeric#}, {#url#}, and {#cbn#}. Preserve the actual token text in variableMap keys using the format "<token>[index]" based on appearance order within approved_template.',
+        output_schema_text: 'Return ONLY valid JSON object with exactly these keys: processedCurl (string), variableMap (object where keys preserve the actual DLT token text in approved_template, such as {#var#}[0], {#numeric#}[1], {#url#}[2], and values are field names in camelCase). No extra keys.',
         must_return_json_only: 'true',
     };