diff --git a/src/app/[orgId]/settings/resources/[resourceId]/general/page.tsx b/src/app/[orgId]/settings/resources/[resourceId]/general/page.tsx
index 37c5c363..ce8f29a7 100644
--- a/src/app/[orgId]/settings/resources/[resourceId]/general/page.tsx
+++ b/src/app/[orgId]/settings/resources/[resourceId]/general/page.tsx
@@ -55,7 +55,7 @@ import { Globe } from "lucide-react";
 import { build } from "@server/build";
 import { finalizeSubdomainSanitize } from "@app/lib/subdomain-utils";
 import { DomainRow } from "../../../domains/DomainsTable";
-import { toUnicode } from "punycode";
+import { toASCII, toUnicode } from "punycode";
 
 export default function GeneralForm() {
     const [formKey, setFormKey] = useState(0);
@@ -82,7 +82,7 @@ export default function GeneralForm() {
 
     const [loadingPage, setLoadingPage] = useState(true);
     const [resourceFullDomain, setResourceFullDomain] = useState(
-        `${resource.ssl ? "https" : "http"}://${resource.fullDomain}`
+        `${resource.ssl ? "https" : "http"}://${toUnicode(resource.fullDomain || "")}`
     );
     const [selectedDomain, setSelectedDomain] = useState<{
         domainId: string;
@@ -186,7 +186,7 @@ export default function GeneralForm() {
                 {
                     enabled: data.enabled,
                     name: data.name,
-                    subdomain: data.subdomain,
+                    subdomain: data.subdomain ? toASCII(data.subdomain) : undefined,
                     domainId: data.domainId,
                     proxyPort: data.proxyPort,
                     // ...(!resource.http && {
@@ -478,7 +478,6 @@ export default function GeneralForm() {
                                         setEditDomainOpen(false);
 
                                         toast({
-                                            title: "Domain sanitized",
                                             description: `Final domain: ${sanitizedFullDomain}`,
                                         });
                                     }
diff --git a/src/app/[orgId]/settings/resources/create/page.tsx b/src/app/[orgId]/settings/resources/create/page.tsx
index 6436ac15..782b3135 100644
--- a/src/app/[orgId]/settings/resources/create/page.tsx
+++ b/src/app/[orgId]/settings/resources/create/page.tsx
@@ -89,7 +89,7 @@ import { isTargetValid } from "@server/lib/validators";
 import { ListTargetsResponse } from "@server/routers/target";
 import { DockerManager, DockerState } from "@app/lib/docker";
 import { parseHostTarget } from "@app/lib/parseHostTarget";
-import { toUnicode } from 'punycode';
+import { toASCII, toUnicode } from 'punycode';
 import { DomainRow } from "../../domains/DomainsTable";
 
 const baseResourceFormSchema = z.object({
@@ -329,7 +329,7 @@ export default function Page() {
             if (isHttp) {
                 const httpData = httpForm.getValues();
                 Object.assign(payload, {
-                    subdomain: httpData.subdomain,
+                    subdomain: httpData.subdomain ? toASCII(httpData.subdomain) : undefined,
                     domainId: httpData.domainId,
                     protocol: "tcp"
                 });
diff --git a/src/components/DomainPicker.tsx b/src/components/DomainPicker.tsx
index 572ff913..f00292ee 100644
--- a/src/components/DomainPicker.tsx
+++ b/src/components/DomainPicker.tsx
@@ -336,8 +336,13 @@ export default function DomainPicker2({
     const handleBaseDomainSelect = (option: DomainOption) => {
         let sub = subdomainInput;
 
-        sub = finalizeSubdomain(sub, option);
-        setSubdomainInput(sub);
+        if (sub && sub.trim() !== "") {
+            sub = finalizeSubdomain(sub, option) || "";
+            setSubdomainInput(sub);
+        } else {
+            sub = "";
+            setSubdomainInput("");
+        }
 
         if (option.type === "provided-search") {
             setUserInput("");
@@ -409,11 +414,6 @@ export default function DomainPicker2({
         sortedAvailableOptions.length > providedDomainsShown;
 
 
-    const isValidDomainCharacter = (char: string) => {
-        // Allow Unicode letters, numbers, hyphens, and periods
-        return /[\p{L}\p{N}.-]/u.test(char);
-    };
-
     return (
         <div className="space-y-4">
             <div className="grid grid-cols-1 sm:grid-cols-2 gap-4">
@@ -444,16 +444,10 @@ export default function DomainPicker2({
                             "border-red-500 focus:border-red-500"
                         )}
                         onChange={(e) => {
-                            const rawInput = e.target.value;
-                            const validInput = rawInput
-                                .split("")
-                                .filter((char) => isValidDomainCharacter(char))
-                                .join("");
-
                             if (showProvidedDomainSearch) {
-                                handleProvidedDomainInputChange(validInput);
+                                handleProvidedDomainInputChange(e.target.value);
                             } else {
-                                handleSubdomainChange(validInput);
+                                handleSubdomainChange(e.target.value);
                             }
                         }}
                     />
diff --git a/src/lib/subdomain-utils.ts b/src/lib/subdomain-utils.ts
index 7c94db16..5a82e930 100644
--- a/src/lib/subdomain-utils.ts
+++ b/src/lib/subdomain-utils.ts
@@ -1,29 +1,32 @@
 
 export type DomainType = "organization" | "provided" | "provided-search";
 
-export const SINGLE_LABEL_RE = /^[a-z0-9-]+$/i; // provided-search (no dots)
-export const MULTI_LABEL_RE = /^[a-z0-9-]+(\.[a-z0-9-]+)*$/i; // ns/wildcard
-export const SINGLE_LABEL_STRICT_RE = /^[a-z0-9](?:[a-z0-9-]*[a-z0-9])?$/i; // start/end alnum
+export const SINGLE_LABEL_RE = /^[\p{L}\p{N}-]+$/u; // provided-search (no dots)
+export const MULTI_LABEL_RE = /^[\p{L}\p{N}-]+(\.[\p{L}\p{N}-]+)*$/u; // ns/wildcard
+export const SINGLE_LABEL_STRICT_RE = /^[\p{L}\p{N}](?:[\p{L}\p{N}-]*[\p{L}\p{N}])?$/u; // start/end alnum
 
 
 export function sanitizeInputRaw(input: string): string {
   if (!input) return "";
-  return input.toLowerCase().replace(/[^a-z0-9.-]/g, "");
+  return input
+    .toLowerCase()
+    .normalize("NFC") // normalize Unicode
+    .replace(/[^\p{L}\p{N}.-]/gu, ""); // allow Unicode letters, numbers, dot, hyphen
 }
 
 export function finalizeSubdomainSanitize(input: string): string {
   if (!input) return "";
   return input
     .toLowerCase()
-    .replace(/[^a-z0-9.-]/g, "")   // allow only valid chars
-    .replace(/\.{2,}/g, ".")       // collapse multiple dots
-    .replace(/^-+|-+$/g, "")       // strip leading/trailing hyphens
-    .replace(/^\.+|\.+$/g, "");    // strip leading/trailing dots
+    .normalize("NFC")
+    .replace(/[^\p{L}\p{N}.-]/gu, "")  // allow Unicode
+    .replace(/\.{2,}/g, ".")           // collapse multiple dots
+    .replace(/^-+|-+$/g, "")           // strip leading/trailing hyphens
+    .replace(/^\.+|\.+$/g, "")         // strip leading/trailing dots
+    .replace(/(\.-)|(-\.)/g, ".");     // fix illegal dot-hyphen combos
 }
 
 
-
-
 export function validateByDomainType(subdomain: string, domainType: { type: "provided-search" | "organization"; domainType?: "ns" | "cname" | "wildcard" } ): boolean {
   if (!domainType) return false;
 
@@ -47,7 +50,7 @@ export function validateByDomainType(subdomain: string, domainType: { type: "pro
 
 
 export const isValidSubdomainStructure = (input: string): boolean => {
-  const regex = /^(?!-)([a-zA-Z0-9-]{1,63})(?<!-)$/;
+  const regex = /^(?!-)([\p{L}\p{N}-]{1,63})(?<!-)$/u;
 
   if (!input) return false;
   if (input.includes("..")) return false;
@@ -57,3 +60,4 @@ export const isValidSubdomainStructure = (input: string): boolean => {
 
 
 
+