diff --git a/packages/hoppscotch-cli/src/__tests__/e2e/commands/test.spec.ts b/packages/hoppscotch-cli/src/__tests__/e2e/commands/test.spec.ts
index e350e077..3de3367f 100644
--- a/packages/hoppscotch-cli/src/__tests__/e2e/commands/test.spec.ts
+++ b/packages/hoppscotch-cli/src/__tests__/e2e/commands/test.spec.ts
@@ -95,6 +95,7 @@ describe("hopp test [options] <file_path_or_id>", { timeout: 100000 }, () => {
         const testFixtures = [
           { fileName: "env-v0.json", version: 0 },
           { fileName: "env-v1.json", version: 1 },
+          { fileName: "env-v2.json", version: 2 },
         ];
 
         testFixtures.forEach(({ fileName, version }) => {
diff --git a/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/aws-signature-auth-envs.json b/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/aws-signature-auth-envs.json
index 534bf711..486e69c6 100644
--- a/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/aws-signature-auth-envs.json
+++ b/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/aws-signature-auth-envs.json
@@ -1,34 +1,42 @@
 {
-  "v": 1,
+  "v": 2,
   "id": "cm0dsn3v70004p4qk3l9b7sjm",
   "name": "AWS Signature - environments",
   "variables": [
     {
       "key": "awsRegion",
-      "value": "us-east-1",
+      "currentValue": "us-east-1",
+      "initialValue": "us-east-1",
       "secret": false
     },
     {
       "key": "serviceName",
-      "value": "s3",
+      "currentValue": "s3",
+      "initialValue": "s3",
       "secret": false
     },
     {
       "key": "accessKey",
-      "value": "test-access-key",
+      "currentValue": "test-access-key",
+      "initialValue": "test-access-key",
       "secret": true
     },
     {
       "key": "secretKey",
+      "currentValue": "",
+      "initialValue": "",
       "secret": true
     },
     {
       "key": "url",
-      "value": "https://echo.hoppscotch.io",
+      "currentValue": "https://echo.hoppscotch.io",
+      "initialValue": "https://echo.hoppscotch.io",
       "secret": false
     },
     {
       "key": "serviceToken",
+      "currentValue": "",
+      "initialValue": "",
       "secret": true
     }
   ]
diff --git a/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/digest-auth-envs.json b/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/digest-auth-envs.json
index eacbcbc0..eb1c2aea 100644
--- a/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/digest-auth-envs.json
+++ b/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/digest-auth-envs.json
@@ -1,21 +1,24 @@
 {
-  "v": 1,
+  "v": 2,
   "id": "cm0dsn3v70004p4qk3l9b7sjm",
   "name": "Digest Auth - environments",
   "variables": [
     {
       "key": "username",
-      "value": "admin",
+      "currentValue": "",
+      "initialValue": "admin",
       "secret": true
     },
     {
       "key": "password",
-      "value": "admin",
+      "currentValue": "",
+      "initialValue": "admin",
       "secret": true
     },
     {
       "key": "url",
-      "value": "https://test.insightres.org/digest/"
+      "currentValue": "",
+      "initialValue": "https://test.insightres.org/digest/"
     }
   ]
 }
diff --git a/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/env-v1.json b/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/env-v1.json
index 4ab5aa65..c6f7c919 100644
--- a/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/env-v1.json
+++ b/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/env-v1.json
@@ -1,10 +1,10 @@
 {
-    "name": "env-v0",
-    "variables": [
-      {
-        "key": "baseURL",
-        "value": "https://echo.hoppscotch.io",
-        "secret": false
-      }
-    ]
-  }
\ No newline at end of file
+  "name": "env-v1",
+  "variables": [
+    {
+      "key": "baseURL",
+      "value": "https://echo.hoppscotch.io",
+      "secret": false
+    }
+  ]
+}
diff --git a/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/env-v2.json b/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/env-v2.json
new file mode 100644
index 00000000..1c170dbd
--- /dev/null
+++ b/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/env-v2.json
@@ -0,0 +1,13 @@
+{
+  "id": "env-v2",
+  "v": 2,
+  "name": "env-v2",
+  "variables": [
+    {
+      "key": "baseURL",
+      "initialValue": "https://echo.hoppscotch.io",
+      "currentValue": "https://echo.hoppscotch.io",
+      "secret": false
+    }
+  ]
+}
diff --git a/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/request-vars-envs.json b/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/request-vars-envs.json
index 844af010..ff96dced 100644
--- a/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/request-vars-envs.json
+++ b/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/request-vars-envs.json
@@ -1,33 +1,42 @@
 {
-  "v": 1,
+  "v": 2,
   "id": "cm00r7kpb0006mbd2nq1560w6",
   "name": "Request variables alongside environment variables",
   "variables": [
     {
       "key": "url",
-      "value": "https://echo.hoppscotch.io",
+      "initialValue": "https://echo.hoppscotch.io",
+      "currentValue": "https://echo.hoppscotch.io",
       "secret": false
     },
     {
       "key": "secretBasicAuthPasswordEnvVar",
+      "initialValue": "",
+      "currentValue": "",
       "secret": true
     },
     {
       "key": "secretBasicAuthUsernameEnvVar",
-      "value": "username",
+      "initialValue": "username",
+      "currentValue": "",
       "secret": true
     },
     {
       "key": "username",
+      "initialValue": "",
+      "currentValue": "",
       "secret": true
     },
     {
       "key": "password",
+      "initialValue": "",
+      "currentValue": "",
       "secret": true
     },
     {
       "key": "testHeaderValue",
-      "value": "test-header-value",
+      "initialValue": "test-header-value",
+      "currentValue": "",
       "secret": false
     }
   ]
diff --git a/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/secret-envs-persistence-scripting-envs.json b/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/secret-envs-persistence-scripting-envs.json
index b03e0508..e1411452 100644
--- a/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/secret-envs-persistence-scripting-envs.json
+++ b/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/secret-envs-persistence-scripting-envs.json
@@ -1,26 +1,36 @@
 {
-  "v": 1,
+  "v": 2,
   "id": "2",
   "name": "secret-envs-persistence-scripting-envs",
   "variables": [
     {
       "key": "preReqVarOne",
+      "initialValue": "",
+      "currentValue": "",
       "secret": true
     },
     {
       "key": "preReqVarTwo",
+      "initialValue": "",
+      "currentValue": "",
       "secret": true
     },
     {
       "key": "postReqVarOne",
+      "initialValue": "",
+      "currentValue": "",
       "secret": true
     },
     {
       "key": "preReqVarTwo",
+      "initialValue": "",
+      "currentValue": "",
       "secret": true
     },
     {
       "key": "customHeaderValueFromSecretVar",
+      "initialValue": "",
+      "currentValue": "",
       "secret": true
     }
   ]
diff --git a/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/secret-envs.json b/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/secret-envs.json
index 266f821c..1c4ae820 100644
--- a/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/secret-envs.json
+++ b/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/secret-envs.json
@@ -1,44 +1,60 @@
 {
   "id": "2",
-  "v": 1,
+  "v": 2,
   "name": "secret-envs",
   "variables": [
     {
       "key": "secretBearerToken",
+      "initialValue": "",
+      "currentValue": "",
       "secret": true
     },
     {
       "key": "secretBasicAuthUsername",
+      "initialValue": "",
+      "currentValue": "",
       "secret": true
     },
     {
       "key": "secretBasicAuthPassword",
+      "initialValue": "",
+      "currentValue": "",
       "secret": true
     },
     {
       "key": "secretQueryParamValue",
+      "initialValue": "",
+      "currentValue": "",
       "secret": true
     },
     {
       "key": "secretBodyValue",
+      "initialValue": "",
+      "currentValue": "",
       "secret": true
     },
     {
       "key": "secretHeaderValue",
+      "initialValue": "",
+      "currentValue": "",
       "secret": true
     },
     {
       "key": "nonExistentValueInSystemEnv",
+      "initialValue": "",
+      "currentValue": "",
       "secret": true
     },
     {
       "key": "echoHoppBaseURL",
-      "value": "https://echo.hoppscotch.io",
+      "initialValue": "https://echo.hoppscotch.io",
+      "currentValue": "",
       "secret": false
     },
     {
       "key": "httpbinBaseURL",
-      "value": "https://httpbin.org",
+      "initialValue": "https://httpbin.org",
+      "currentValue": "",
       "secret": false
     }
   ]
diff --git a/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/secret-supplied-values-envs.json b/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/secret-supplied-values-envs.json
index 88155f84..9c331bd9 100644
--- a/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/secret-supplied-values-envs.json
+++ b/packages/hoppscotch-cli/src/__tests__/e2e/fixtures/environments/secret-supplied-values-envs.json
@@ -1,50 +1,60 @@
 {
-  "v": 1,
+  "v": 2,
   "id": "2",
   "name": "secret-values-envs",
   "variables": [
     {
       "key": "secretBearerToken",
-      "value": "test-token",
+      "initialValue": "test-token",
+      "currentValue": "test-token",
       "secret": true
     },
     {
       "key": "secretBasicAuthUsername",
-      "value": "test-user",
+      "initialValue": "test-user",
+      "currentValue": "test-user",
       "secret": true
     },
     {
       "key": "secretBasicAuthPassword",
-      "value": "test-pass",
+      "initialValue": "test-pass",
+      "currentValue": "test-pass",
       "secret": true
     },
     {
       "key": "secretQueryParamValue",
-      "value": "secret-query-param-value",
+      "initialValue": "secret-query-param-value",
+      "currentValue": "secret-query-param-value",
       "secret": true
     },
     {
       "key": "secretBodyValue",
-      "value": "secret-body-value",
+      "initialValue": "secret-body-value",
+      "currentValue": "secret-body-value",
       "secret": true
     },
     {
       "key": "secretHeaderValue",
-      "value": "secret-header-value",
+      "initialValue": "secret-header-value",
+      "currentValue": "secret-header-value",
       "secret": true
     },
     {
       "key": "nonExistentValueInSystemEnv",
+      "initialValue": "",
+      "currentValue": "",
       "secret": true
     },
     {
       "key": "echoHoppBaseURL",
-      "value": "https://echo.hoppscotch.io",
+      "initialValue": "https://echo.hoppscotch.io",
+      "currentValue": "https://echo.hoppscotch.io",
       "secret": false
     },
     {
       "key": "httpbinBaseURL",
-      "value": "https://httpbin.org",
+      "initialValue": "https://httpbin.org",
+      "currentValue": "https://httpbin.org",
       "secret": false
     }
   ]
diff --git a/packages/hoppscotch-cli/src/__tests__/unit/getters.spec.ts b/packages/hoppscotch-cli/src/__tests__/unit/getters.spec.ts
index 3950a9fe..627683eb 100644
--- a/packages/hoppscotch-cli/src/__tests__/unit/getters.spec.ts
+++ b/packages/hoppscotch-cli/src/__tests__/unit/getters.spec.ts
@@ -44,7 +44,12 @@ describe("getters", () => {
 
   describe("getEffectiveFinalMetaData", () => {
     const environmentVariables = [
-      { key: "PARAM", value: "parsed_param", secret: false },
+      {
+        key: "PARAM",
+        initialValue: "parsed_param",
+        currentValue: "parsed_param",
+        secret: false,
+      },
     ];
 
     test("Empty list of meta-data", () => {
@@ -421,27 +426,32 @@ describe("getters", () => {
     const environmentVariables = [
       {
         key: "SHARED_KEY_I",
-        value: "environment-variable-shared-value-I",
+        initialValue: "environment-variable-shared-value-I",
+        currentValue: "environment-variable-shared-value-I",
         secret: false,
       },
       {
         key: "SHARED_KEY_II",
-        value: "environment-variable-shared-value-II",
+        initialValue: "environment-variable-shared-value-II",
+        currentValue: "environment-variable-shared-value-II",
         secret: false,
       },
       {
         key: "ENV_VAR_III",
-        value: "environment-variable-value-III",
+        initialValue: "environment-variable-value-III",
+        currentValue: "environment-variable-value-III",
         secret: false,
       },
       {
         key: "ENV_VAR_IV",
-        value: "environment-variable-value-IV",
+        initialValue: "environment-variable-value-IV",
+        currentValue: "environment-variable-value-IV",
         secret: false,
       },
       {
         key: "ENV_VAR_V",
-        value: "environment-variable-value-V",
+        initialValue: "environment-variable-value-V",
+        currentValue: "environment-variable-value-V",
         secret: false,
       },
     ];
@@ -450,32 +460,38 @@ describe("getters", () => {
       const expected = [
         {
           key: "SHARED_KEY_I",
-          value: "request-variable-shared-value-I",
+          currentValue: "request-variable-shared-value-I",
+          initialValue: "request-variable-shared-value-I",
           secret: false,
         },
         {
           key: "REQUEST_VAR_III",
-          value: "request-variable-value-III",
+          currentValue: "request-variable-value-III",
+          initialValue: "request-variable-value-III",
           secret: false,
         },
         {
           key: "SHARED_KEY_II",
-          value: "environment-variable-shared-value-II",
+          currentValue: "environment-variable-shared-value-II",
+          initialValue: "environment-variable-shared-value-II",
           secret: false,
         },
         {
           key: "ENV_VAR_III",
-          value: "environment-variable-value-III",
+          currentValue: "environment-variable-value-III",
+          initialValue: "environment-variable-value-III",
           secret: false,
         },
         {
           key: "ENV_VAR_IV",
-          value: "environment-variable-value-IV",
+          currentValue: "environment-variable-value-IV",
+          initialValue: "environment-variable-value-IV",
           secret: false,
         },
         {
           key: "ENV_VAR_V",
-          value: "environment-variable-value-V",
+          currentValue: "environment-variable-value-V",
+          initialValue: "environment-variable-value-V",
           secret: false,
         },
       ];
diff --git a/packages/hoppscotch-cli/src/commands/test.ts b/packages/hoppscotch-cli/src/commands/test.ts
index 0291fa31..3e40978c 100644
--- a/packages/hoppscotch-cli/src/commands/test.ts
+++ b/packages/hoppscotch-cli/src/commands/test.ts
@@ -75,7 +75,8 @@ export const test = (pathOrId: string, options: TestCmdOptions) => async () => {
                 (key) =>
                   <IterationDataItem>{
                     key: key,
-                    value: iterationDataItem[key],
+                    initialValue: iterationDataItem[key],
+                    currentValue: iterationDataItem[key],
                     secret: false,
                   }
               )
diff --git a/packages/hoppscotch-cli/src/options/test/env.ts b/packages/hoppscotch-cli/src/options/test/env.ts
index cc674652..8bd3fa70 100644
--- a/packages/hoppscotch-cli/src/options/test/env.ts
+++ b/packages/hoppscotch-cli/src/options/test/env.ts
@@ -60,11 +60,16 @@ export async function parseEnvsData(options: TestCmdEnvironmentOptions) {
 
   if (HoppEnvKeyPairResult.success) {
     for (const [key, value] of Object.entries(HoppEnvKeyPairResult.data)) {
-      envPairs.push({ key, value, secret: false });
+      envPairs.push({
+        key,
+        initialValue: value,
+        currentValue: value,
+        secret: false,
+      });
     }
   } else if (HoppEnvExportObjectResult.type === "ok") {
     // Original environment variables from the supplied export file
-    const originalEnvVariables = (contents as NonSecretEnvironment).variables;
+    const originalEnvVariables = (contents as Environment).variables;
 
     // Above environment variables conforming to the latest schema
     // `value` fields if specified will be omitted for secret environment variables
@@ -73,10 +78,10 @@ export async function parseEnvsData(options: TestCmdEnvironmentOptions) {
     // The values supplied for secret environment variables have to be considered in the CLI
     // For each secret environment variable, include the value in case supplied
     const resolvedEnvVariables = migratedEnvVariables.map((variable, idx) => {
-      if (variable.secret && originalEnvVariables[idx].value) {
+      if (variable.secret && originalEnvVariables[idx].initialValue) {
         return {
           ...variable,
-          value: originalEnvVariables[idx].value,
+          initialValue: originalEnvVariables[idx].initialValue,
         };
       }
 
diff --git a/packages/hoppscotch-cli/src/utils/getters.ts b/packages/hoppscotch-cli/src/utils/getters.ts
index 07fe43fc..c76ff0ea 100644
--- a/packages/hoppscotch-cli/src/utils/getters.ts
+++ b/packages/hoppscotch-cli/src/utils/getters.ts
@@ -275,9 +275,15 @@ export const getResolvedVariables = (
   requestVariables: HoppRESTRequestVariables,
   environmentVariables: EnvironmentVariable[]
 ): EnvironmentVariable[] => {
+  // Transforming request variables to the shape of environment variables
   const activeRequestVariables = requestVariables
     .filter(({ active, value }) => active && value)
-    .map(({ key, value }) => ({ key, value, secret: false }));
+    .map(({ key, value }) => ({
+      key,
+      initialValue: value,
+      currentValue: value,
+      secret: false,
+    }));
 
   const requestVariableKeys = activeRequestVariables.map(({ key }) => key);
 
@@ -286,5 +292,17 @@ export const getResolvedVariables = (
     ({ key }) => !requestVariableKeys.includes(key)
   );
 
-  return [...activeRequestVariables, ...filteredEnvironmentVariables];
+  // Setting currentValue to initialValue for environment variables
+  // because the exported file might not have the currentValue field
+  const processedEnvironmentVariables = filteredEnvironmentVariables.map(
+    ({ key, initialValue, currentValue, secret }) => ({
+      key,
+      initialValue,
+      currentValue:
+        currentValue && currentValue !== "" ? currentValue : initialValue,
+      secret,
+    })
+  );
+
+  return [...activeRequestVariables, ...processedEnvironmentVariables];
 };
diff --git a/packages/hoppscotch-cli/src/utils/request.ts b/packages/hoppscotch-cli/src/utils/request.ts
index a80b8244..d769c5ac 100644
--- a/packages/hoppscotch-cli/src/utils/request.ts
+++ b/packages/hoppscotch-cli/src/utils/request.ts
@@ -42,8 +42,10 @@ const processVariables = (variable: Environment["variables"][number]) => {
   if (variable.secret) {
     return {
       ...variable,
-      value:
-        "value" in variable ? variable.value : process.env[variable.key] || "",
+      currentValue:
+        "currentValue" in variable && variable.currentValue !== ""
+          ? variable.currentValue
+          : process.env[variable.key] || "",
     };
   }
   return variable;
diff --git a/packages/hoppscotch-common/locales/en.json b/packages/hoppscotch-common/locales/en.json
index 4b8cf526..677ba431 100644
--- a/packages/hoppscotch-common/locales/en.json
+++ b/packages/hoppscotch-common/locales/en.json
@@ -340,11 +340,13 @@
     }
   },
   "count": {
+    "currentValue": "Current value {count}",
+    "description": "Description {count}",
     "header": "Header {count}",
+    "initialValue": "Initial value {count}",
+    "key": "Key {count}",
     "message": "Message {count}",
     "parameter": "Parameter {count}",
-    "key": "Key {count}",
-    "description": "Description {count}",
     "protocol": "Protocol {count}",
     "value": "Value {count}",
     "variable": "Variable {count}"
diff --git a/packages/hoppscotch-common/src/components/environments/Add.vue b/packages/hoppscotch-common/src/components/environments/Add.vue
index 5eed9be6..71dedb1d 100644
--- a/packages/hoppscotch-common/src/components/environments/Add.vue
+++ b/packages/hoppscotch-common/src/components/environments/Add.vue
@@ -70,7 +70,6 @@
 </template>
 
 <script lang="ts" setup>
-import { Environment } from "@hoppscotch/data"
 import { useService } from "dioc/vue"
 import * as TE from "fp-ts/TaskEither"
 import { pipe } from "fp-ts/function"
@@ -80,17 +79,20 @@ import { useToast } from "~/composables/toast"
 import { GQLError } from "~/helpers/backend/GQLClient"
 import { updateTeamEnvironment } from "~/helpers/backend/mutations/TeamEnvironment"
 import { getEnvActionErrorMessage } from "~/helpers/error-messages"
-import { TeamEnvironment } from "~/helpers/teams/TeamEnvironment"
 import {
-  addEnvironmentVariable,
-  addGlobalEnvVariable,
+  setGlobalEnvVariables,
+  updateEnvironment,
 } from "~/newstore/environments"
+import { CurrentValueService } from "~/services/current-environment-value.service"
 import { RESTTabService } from "~/services/tab/rest"
+import { Scope } from "./Selector.vue"
+import { GlobalEnvironment } from "@hoppscotch/data"
 
 const t = useI18n()
 const toast = useToast()
 
 const tabs = useService(RESTTabService)
+const currentEnvironmentValueService = useService(CurrentValueService)
 
 const props = defineProps<{
   show: boolean
@@ -113,6 +115,7 @@ watch(
     if (!newVal) {
       scope.value = {
         type: "global",
+        variables: [],
       }
       replaceWithVariable.value = false
       editingName.value = ""
@@ -123,22 +126,9 @@ watch(
   }
 )
 
-type Scope =
-  | {
-      type: "global"
-    }
-  | {
-      type: "my-environment"
-      environment: Environment
-      index: number
-    }
-  | {
-      type: "team-environment"
-      environment: TeamEnvironment
-    }
-
 const scope = ref<Scope>({
   type: "global",
+  variables: [],
 })
 
 const replaceWithVariable = ref(false)
@@ -152,27 +142,67 @@ const addEnvironment = async () => {
     return
   }
   if (scope.value.type === "global") {
-    addGlobalEnvVariable({
+    const newVariables = [
+      ...scope.value.variables,
+      {
+        key: editingName.value,
+        initialValue: editingValue.value,
+        currentValue: "",
+        secret: false,
+      },
+    ]
+
+    const newEnv: GlobalEnvironment = {
+      v: 2,
+      variables: newVariables,
+    }
+
+    setGlobalEnvVariables(newEnv)
+    currentEnvironmentValueService.addEnvironmentVariable("Global", {
       key: editingName.value,
-      value: editingValue.value,
-      secret: false,
+      currentValue: editingValue.value,
+      isSecret: false,
+      varIndex: scope.value.variables.length,
     })
     toast.success(`${t("environment.updated")}`)
   } else if (scope.value.type === "my-environment") {
-    addEnvironmentVariable(scope.value.index, {
-      key: editingName.value,
-      value: editingValue.value,
-      secret: false,
-    })
+    const newVariables = [
+      ...scope.value.environment.variables,
+      {
+        key: editingName.value,
+        initialValue: editingValue.value,
+        currentValue: "",
+        secret: false,
+      },
+    ]
+
+    const newEnv = {
+      ...scope.value.environment,
+      variables: newVariables,
+    }
+
+    updateEnvironment(scope.value.index, newEnv)
+    currentEnvironmentValueService.addEnvironmentVariable(
+      scope.value.environment.id,
+      {
+        key: editingName.value,
+        currentValue: editingValue.value,
+        isSecret: false,
+        varIndex: scope.value.environment.variables.length,
+      }
+    )
     toast.success(`${t("environment.updated")}`)
   } else {
     const newVariables = [
       ...scope.value.environment.environment.variables,
       {
         key: editingName.value,
-        value: editingValue.value,
+        initialValue: editingValue.value,
+        currentValue: "",
+        secret: false,
       },
     ]
+
     await pipe(
       updateTeamEnvironment(
         JSON.stringify(newVariables),
@@ -185,6 +215,18 @@ const addEnvironment = async () => {
           toast.error(t(getEnvActionErrorMessage(err)))
         },
         () => {
+          if (scope.value.type === "team-environment") {
+            currentEnvironmentValueService.addEnvironmentVariable(
+              scope.value.environment.id,
+              {
+                key: editingName.value,
+                currentValue: editingValue.value,
+                isSecret: false,
+                varIndex:
+                  scope.value.environment.environment.variables.length - 1,
+              }
+            )
+          }
           hideModal()
           toast.success(`${t("environment.updated")}`)
         }
diff --git a/packages/hoppscotch-common/src/components/environments/ImportExport.vue b/packages/hoppscotch-common/src/components/environments/ImportExport.vue
index 2f61a49c..1060c337 100644
--- a/packages/hoppscotch-common/src/components/environments/ImportExport.vue
+++ b/packages/hoppscotch-common/src/components/environments/ImportExport.vue
@@ -170,7 +170,7 @@ const insomniaEnvironmentsImport: ImporterOrExporter = {
     disabled: false,
   },
   component: FileSource({
-    acceptedFileTypes: "application/json",
+    acceptedFileTypes: ".json, .yaml, .yml",
     caption: "import.insomnia_environment_description",
     onImportFromFile: async (environments) => {
       isInsomniaImporterInProgress.value = true
@@ -362,8 +362,8 @@ const handleImportToStore = async (
 ) => {
   // Add global envs to the store
   globalEnvs.forEach(({ variables }) => {
-    variables.forEach(({ key, value, secret }) => {
-      addGlobalEnvVariable({ key, value, secret })
+    variables.forEach(({ key, initialValue, currentValue, secret }) => {
+      addGlobalEnvVariable({ key, initialValue, currentValue, secret })
     })
   })
 
diff --git a/packages/hoppscotch-common/src/components/environments/Selector.vue b/packages/hoppscotch-common/src/components/environments/Selector.vue
index 0ee4c8c8..29895728 100644
--- a/packages/hoppscotch-common/src/components/environments/Selector.vue
+++ b/packages/hoppscotch-common/src/components/environments/Selector.vue
@@ -66,6 +66,7 @@
               () => {
                 $emit('update:modelValue', {
                   type: 'global',
+                  variables: globalVals.variables,
                 })
                 hide()
               }
@@ -245,7 +246,7 @@
                 </span>
               </div>
               <div
-                v-for="(variable, index) in globalEnvs.variables"
+                v-for="(variable, index) in globalEnvs"
                 :key="index"
                 class="flex flex-1 space-x-4"
               >
@@ -255,14 +256,11 @@
                 <span class="min-w-[9rem] w-full truncate text-secondaryLight">
                   <template v-if="variable.secret"> ******** </template>
                   <template v-else>
-                    {{ variable.value }}
+                    {{ variable.currentValue }}
                   </template>
                 </span>
               </div>
-              <div
-                v-if="globalEnvs.variables.length === 0"
-                class="text-secondaryLight"
-              >
+              <div v-if="globalEnvs.length === 0" class="text-secondaryLight">
                 {{ t("environment.empty_variables") }}
               </div>
             </div>
@@ -316,7 +314,7 @@
                 <span class="min-w-[9rem] w-full truncate text-secondaryLight">
                   <template v-if="variable.secret"> ******** </template>
                   <template v-else>
-                    {{ variable.value }}
+                    {{ variable.currentValue }}
                   </template>
                 </span>
               </div>
@@ -359,6 +357,7 @@ import {
   setSelectedEnvironmentIndex,
 } from "~/newstore/environments"
 import { useLocalState } from "~/newstore/localstate"
+import { CurrentValueService } from "~/services/current-environment-value.service"
 import { WorkspaceService } from "~/services/workspace.service"
 import IconCheck from "~icons/lucide/check"
 import IconEdit from "~icons/lucide/edit"
@@ -366,9 +365,10 @@ import IconEye from "~icons/lucide/eye"
 import IconGlobe from "~icons/lucide/globe"
 import IconLayers from "~icons/lucide/layers"
 
-type Scope =
+export type Scope =
   | {
       type: "global"
+      variables: GlobalEnvironment["variables"]
     }
   | {
       type: "my-environment"
@@ -403,6 +403,8 @@ const myEnvironments = useReadonlyStream(environments$, [])
 const workspaceService = useService(WorkspaceService)
 const workspace = workspaceService.currentWorkspace
 
+const currentEnvironmentValueService = useService(CurrentValueService)
+
 // TeamList-Adapter
 const teamListAdapter = workspaceService.acquireTeamListAdapter(null)
 const myTeams = useReadonlyStream(teamListAdapter.teamList$, null)
@@ -577,6 +579,7 @@ const selectedEnv = computed(() => {
         index: props.modelValue.index,
         name: props.modelValue.environment?.name,
         variables: props.modelValue.environment?.variables,
+        id: props.modelValue.environment.id,
       }
     } else if (props.modelValue?.type === "team-environment") {
       return {
@@ -584,11 +587,13 @@ const selectedEnv = computed(() => {
         name: props.modelValue.environment.environment.name,
         teamEnvID: props.modelValue.environment.id,
         variables: props.modelValue.environment.environment.variables,
+        id: props.modelValue.environment.id,
       }
     }
     return {
       type: "global",
       name: "Global",
+      variables: globalVals.value.variables,
     }
   }
   if (selectedEnvironmentIndex.value.type === "MY_ENV") {
@@ -599,6 +604,7 @@ const selectedEnv = computed(() => {
       index: selectedEnvironmentIndex.value.index,
       name: environment.name,
       variables: environment.variables,
+      id: environment.id,
     }
   } else if (selectedEnvironmentIndex.value.type === "TEAM_ENV") {
     const teamEnv = teamEnvironmentList.value.find(
@@ -613,6 +619,7 @@ const selectedEnv = computed(() => {
         name: teamEnv.environment.name,
         teamEnvID: selectedEnvironmentIndex.value.teamEnvID,
         variables: teamEnv.environment.variables,
+        id: teamEnv.id,
       }
     }
     return { type: "NO_ENV_SELECTED" }
@@ -653,6 +660,7 @@ onMounted(() => {
     } else {
       emit("update:modelValue", {
         type: "global",
+        variables: globalVals.value.variables,
       })
     }
   }
@@ -662,11 +670,29 @@ onMounted(() => {
 const envSelectorActions = ref<TippyComponent | null>(null)
 const envQuickPeekActions = ref<TippyComponent | null>(null)
 
-const globalEnvs = useReadonlyStream(globalEnv$, {} as GlobalEnvironment)
+const globalVals = useReadonlyStream(globalEnv$, {} as GlobalEnvironment)
+
+const globalEnvs = computed(() => {
+  return globalVals.value.variables.map((variable, index) => ({
+    ...variable,
+    currentValue:
+      currentEnvironmentValueService.getEnvironmentVariableValue(
+        "Global",
+        index
+      ) ?? "",
+  }))
+})
 
 const environmentVariables = computed(() => {
-  if (selectedEnv.value.variables) {
-    return selectedEnv.value.variables
+  if (selectedEnv.value.variables && selectedEnv.value.id) {
+    return selectedEnv.value.variables.map((variable, index) => ({
+      ...variable,
+      currentValue:
+        currentEnvironmentValueService.getEnvironmentVariableValue(
+          selectedEnv.value.id ?? "",
+          index
+        ) ?? "",
+    }))
   }
   return []
 })
diff --git a/packages/hoppscotch-common/src/components/environments/index.vue b/packages/hoppscotch-common/src/components/environments/index.vue
index c4b2417f..c1a8e67a 100644
--- a/packages/hoppscotch-common/src/components/environments/index.vue
+++ b/packages/hoppscotch-common/src/components/environments/index.vue
@@ -104,7 +104,7 @@ const environmentType = ref<EnvironmentsChooseType>({
 const globalEnv = useReadonlyStream(globalEnv$, {} as GlobalEnvironment)
 
 const globalEnvironment = computed<Environment>(() => ({
-  v: 1 as const,
+  v: 2 as const,
   id: "Global",
   name: "Global",
   variables: globalEnv.value.variables,
@@ -177,6 +177,7 @@ watch(
     // if navigating away from a team workspace
     if (
       selectedEnvironmentIndex.value.type === "TEAM_ENV" &&
+      newTeamID &&
       selectedEnvironmentIndex.value.teamID !== newTeamID
     ) {
       setSelectedEnvironmentIndex({
diff --git a/packages/hoppscotch-common/src/components/environments/my/Details.vue b/packages/hoppscotch-common/src/components/environments/my/Details.vue
index 3f9a0589..b3e50bd9 100644
--- a/packages/hoppscotch-common/src/components/environments/my/Details.vue
+++ b/packages/hoppscotch-common/src/components/environments/my/Details.vue
@@ -3,6 +3,7 @@
     v-if="show"
     dialog
     :title="t(`environment.${action}`)"
+    styles="sm:max-w-3xl"
     @close="hideModal"
   >
     <template #body>
@@ -74,7 +75,7 @@
                 <template v-else>
                   <div
                     v-for="({ id, env }, index) in tab.variables"
-                    :key="`variable-${id}-${index}`"
+                    :key="`${tab.id}-${id}-${index}`"
                     class="flex divide-x divide-dividerLight"
                   >
                     <input
@@ -84,13 +85,23 @@
                       :placeholder="`${t('count.variable', {
                         count: index + 1,
                       })}`"
-                      :name="'param' + index"
+                      :name="'variable' + index"
                     />
                     <SmartEnvInput
-                      v-model="env.value"
-                      :placeholder="`${t('count.value', { count: index + 1 })}`"
+                      v-model="env.initialValue"
+                      :placeholder="`${t('count.initialValue', { count: index + 1 })}`"
                       :envs="liveEnvs"
-                      :name="'value' + index"
+                      :name="'initialValue' + index"
+                      :secret="tab.isSecret"
+                      :select-text-on-mount="
+                        env.key ? env.key === editingVariableName : false
+                      "
+                    />
+                    <SmartEnvInput
+                      v-model="env.currentValue"
+                      :placeholder="`${t('count.currentValue', { count: index + 1 })}`"
+                      :envs="liveEnvs"
+                      :name="'currentValue' + index"
                       :secret="tab.isSecret"
                       :select-text-on-mount="
                         env.key ? env.key === editingVariableName : false
@@ -162,6 +173,7 @@ import {
   updateEnvironment,
 } from "~/newstore/environments"
 import { platform } from "~/platform"
+import { CurrentValueService } from "~/services/current-environment-value.service"
 import { SecretEnvironmentService } from "~/services/secret-environment.service"
 import IconDone from "~icons/lucide/check"
 import IconHelpCircle from "~icons/lucide/help-circle"
@@ -171,11 +183,7 @@ import IconTrash2 from "~icons/lucide/trash-2"
 
 type EnvironmentVariable = {
   id: number
-  env: {
-    value: string
-    key: string
-    secret: boolean
-  }
+  env: Environment["variables"][number]
 }
 
 const t = useI18n()
@@ -237,10 +245,14 @@ const tabsData: ComputedRef<
 const editingName = ref<string | null>(null)
 const editingID = ref<string>("")
 const vars = ref<EnvironmentVariable[]>([
-  { id: idTicker.value++, env: { key: "", value: "", secret: false } },
+  {
+    id: idTicker.value++,
+    env: { key: "", currentValue: "", initialValue: "", secret: false },
+  },
 ])
 
 const secretEnvironmentService = useService(SecretEnvironmentService)
+const currentEnvironmentValueService = useService(CurrentValueService)
 
 const secretVars = computed(() =>
   pipe(
@@ -302,8 +314,9 @@ const evnExpandError = computed(() => {
 
   return pipe(
     variables,
-    A.filter(({ secret }) => !secret),
-    A.exists(({ value }) => E.isLeft(parseTemplateStringE(value, variables)))
+    A.exists(({ currentValue }) =>
+      E.isLeft(parseTemplateStringE(currentValue, variables))
+    )
   )
 })
 
@@ -314,12 +327,12 @@ const liveEnvs = computed(() => {
 
   if (props.editingEnvironmentIndex === "Global") {
     return [
-      ...vars.value.map((x) => ({ ...x.env, source: editingName.value! })),
+      ...vars.value.map((x) => ({ ...x.env, sourceEnv: editingName.value! })),
     ]
   }
   return [
-    ...vars.value.map((x) => ({ ...x.env, source: editingName.value! })),
-    ...globalEnv.value.variables.map((x) => ({ ...x, source: "Global" })),
+    ...vars.value.map((x) => ({ ...x.env, sourceEnv: editingName.value! })),
+    ...globalEnv.value.variables.map((x) => ({ ...x, sourceEnv: "Global" })),
   ]
 })
 
@@ -333,6 +346,16 @@ const workingEnvID = computed(() => {
   return uniqueID()
 })
 
+const getCurrentValue = (id: string | "Global", varIndex: number) => {
+  const env = workingEnv.value?.variables[varIndex]
+  if (env && env.secret) {
+    return secretEnvironmentService.getSecretEnvironmentVariable(id, varIndex)
+      ?.value
+  }
+  return currentEnvironmentValueService.getEnvironmentVariable(id, varIndex)
+    ?.currentValue
+}
+
 watch(
   () => props.show,
   (show) => {
@@ -351,17 +374,14 @@ watch(
           id: idTicker.value++,
           env: {
             key: e.key,
-            value: e.secret
-              ? (secretEnvironmentService.getSecretEnvironmentVariable(
-                  props.editingEnvironmentIndex === "Global"
-                    ? "Global"
-                    : workingEnvID.value,
-                  index
-                )?.value ??
-                // @ts-expect-error `value` field can exist for secret environment variables as inferred while importing
-                e.value ??
-                "")
-              : e.value,
+            currentValue:
+              getCurrentValue(
+                props.editingEnvironmentIndex === "Global"
+                  ? "Global"
+                  : workingEnvID.value,
+                index
+              ) ?? "",
+            initialValue: e.initialValue,
             secret: e.secret,
           },
         }))
@@ -384,7 +404,8 @@ const addEnvironmentVariable = () => {
     id: idTicker.value++,
     env: {
       key: "",
-      value: "",
+      currentValue: "",
+      initialValue: "",
       secret: selectedEnvOption.value === "secret",
     },
   })
@@ -421,26 +442,75 @@ const saveEnvironment = () => {
   const secretVariables = pipe(
     filteredVariables,
     A.filterMapWithIndex((i, e) =>
-      e.secret ? O.some({ key: e.key, value: e.value, varIndex: i }) : O.none
+      e.secret
+        ? O.some({
+            key: e.key,
+            value: e.currentValue,
+            varIndex: i,
+          })
+        : O.none
     )
   )
 
-  if (editingID.value) {
-    secretEnvironmentService.addSecretEnvironment(
-      editingID.value,
-      secretVariables
+  const nonSecretVariables = pipe(
+    filteredVariables,
+    A.filterMapWithIndex((i, e) =>
+      !e.secret
+        ? O.some({
+            key: e.key,
+            currentValue: e.currentValue,
+            varIndex: i,
+            isSecret: e.secret,
+          })
+        : O.none
     )
-  } else if (props.editingEnvironmentIndex === "Global") {
-    secretEnvironmentService.addSecretEnvironment("Global", secretVariables)
+  )
+
+  if (secretVariables.length > 0) {
+    if (editingID.value) {
+      secretEnvironmentService.addSecretEnvironment(
+        editingID.value,
+        secretVariables
+      )
+    } else if (props.editingEnvironmentIndex === "Global") {
+      secretEnvironmentService.addSecretEnvironment("Global", secretVariables)
+    }
+  }
+  if (nonSecretVariables.length > 0) {
+    if (editingID.value) {
+      currentEnvironmentValueService.addEnvironment(
+        editingID.value,
+        nonSecretVariables
+      )
+    } else if (props.editingEnvironmentIndex === "Global") {
+      currentEnvironmentValueService.addEnvironment(
+        "Global",
+        nonSecretVariables
+      )
+    }
   }
 
   const variables = pipe(
     filteredVariables,
-    A.map((e) => (e.secret ? { key: e.key, secret: e.secret } : e))
+    A.map((e) =>
+      e.secret
+        ? {
+            key: e.key,
+            secret: e.secret,
+            initialValue: e.initialValue,
+            currentValue: "",
+          }
+        : {
+            key: e.key,
+            secret: e.secret,
+            initialValue: e.initialValue,
+            currentValue: "",
+          }
+    )
   )
 
   const environmentUpdated: Environment = {
-    v: 1,
+    v: 2,
     id: uniqueID(),
     name: editingName.value,
     variables,
diff --git a/packages/hoppscotch-common/src/components/environments/my/Environment.vue b/packages/hoppscotch-common/src/components/environments/my/Environment.vue
index e26ff15f..32dcac7f 100644
--- a/packages/hoppscotch-common/src/components/environments/my/Environment.vue
+++ b/packages/hoppscotch-common/src/components/environments/my/Environment.vue
@@ -155,6 +155,7 @@ import IconCopy from "~icons/lucide/copy"
 import IconEdit from "~icons/lucide/edit"
 import IconMoreVertical from "~icons/lucide/more-vertical"
 import IconTrash2 from "~icons/lucide/trash-2"
+import { CurrentValueService } from "~/services/current-environment-value.service"
 
 const t = useI18n()
 const toast = useToast()
@@ -183,6 +184,7 @@ const emit = defineEmits<{
 const confirmRemove = ref(false)
 
 const secretEnvironmentService = useService(SecretEnvironmentService)
+const currentEnvironmentValueService = useService(CurrentValueService)
 
 watch(
   () => props.duplicateGlobalEnvironmentLoading,
@@ -216,6 +218,7 @@ const removeEnvironment = () => {
   if (!isGlobalEnvironment.value) {
     deleteEnvironment(props.environmentIndex as number, props.environment.id)
     secretEnvironmentService.deleteSecretEnvironment(props.environment.id)
+    currentEnvironmentValueService.deleteEnvironment(props.environment.id)
   }
   toast.success(`${t("state.deleted")}`)
 }
diff --git a/packages/hoppscotch-common/src/components/environments/teams/Details.vue b/packages/hoppscotch-common/src/components/environments/teams/Details.vue
index 9833cb91..c118d38f 100644
--- a/packages/hoppscotch-common/src/components/environments/teams/Details.vue
+++ b/packages/hoppscotch-common/src/components/environments/teams/Details.vue
@@ -3,6 +3,7 @@
     v-if="show"
     dialog
     :title="t(`environment.${action}`)"
+    styles="sm:max-w-3xl"
     @close="hideModal"
   >
     <template #body>
@@ -91,15 +92,24 @@
                       :disabled="isViewer"
                     />
                     <SmartEnvInput
-                      v-model="env.value"
+                      v-model="env.initialValue"
+                      :placeholder="`${t('count.initialValue', { count: index + 1 })}`"
+                      :envs="liveEnvs"
+                      :name="'initialValue' + index"
+                      :secret="tab.isSecret"
                       :select-text-on-mount="
                         env.key ? env.key === editingVariableName : false
                       "
-                      :placeholder="`${t('count.value', { count: index + 1 })}`"
+                    />
+                    <SmartEnvInput
+                      v-model="env.currentValue"
+                      :placeholder="`${t('count.currentValue', { count: index + 1 })}`"
                       :envs="liveEnvs"
-                      :name="'value' + index"
+                      :name="'currentValue' + index"
                       :secret="tab.isSecret"
-                      :readonly="isViewer && !tab.isSecret"
+                      :select-text-on-mount="
+                        env.key ? env.key === editingVariableName : false
+                      "
                     />
                     <div v-if="!isViewer" class="flex">
                       <HoppButtonSecondary
@@ -166,14 +176,11 @@ import { platform } from "~/platform"
 import { useService } from "dioc/vue"
 import { SecretEnvironmentService } from "~/services/secret-environment.service"
 import { getEnvActionErrorMessage } from "~/helpers/error-messages"
+import { CurrentValueService } from "~/services/current-environment-value.service"
 
 type EnvironmentVariable = {
   id: number
-  env: {
-    key: string
-    value: string
-    secret: boolean
-  }
+  env: Environment["variables"][number]
 }
 
 const t = useI18n()
@@ -239,10 +246,14 @@ const tabsData: ComputedRef<
 const editingName = ref<string | null>(null)
 const editingID = ref<string | null>(null)
 const vars = ref<EnvironmentVariable[]>([
-  { id: idTicker.value++, env: { key: "", value: "", secret: false } },
+  {
+    id: idTicker.value++,
+    env: { key: "", currentValue: "", initialValue: "", secret: false },
+  },
 ])
 
 const secretEnvironmentService = useService(SecretEnvironmentService)
+const currentEnvironmentValueService = useService(CurrentValueService)
 
 const secretVars = computed(() =>
   pipe(
@@ -275,7 +286,9 @@ const evnExpandError = computed(() => {
 
   return pipe(
     variables,
-    A.exists(({ value }) => E.isLeft(parseTemplateStringE(value, variables)))
+    A.exists(({ currentValue }) =>
+      E.isLeft(parseTemplateStringE(currentValue, variables))
+    )
   )
 })
 
@@ -283,9 +296,28 @@ const liveEnvs = computed(() => {
   if (evnExpandError.value) {
     return []
   }
-  return [...vars.value.map((x) => ({ ...x.env, source: editingName.value! }))]
+  return [
+    ...vars.value.map((x) => ({ ...x.env, sourceEnv: editingName.value! })),
+  ]
 })
 
+const getCurrentValue = (
+  editingID: string,
+  varIndex: number,
+  isSecret: boolean
+) => {
+  if (isSecret) {
+    return secretEnvironmentService.getSecretEnvironmentVariable(
+      editingID,
+      varIndex
+    )?.value
+  }
+  return currentEnvironmentValueService.getEnvironmentVariable(
+    editingID,
+    varIndex
+  )?.currentValue
+}
+
 watch(
   () => props.show,
   (show) => {
@@ -310,15 +342,13 @@ watch(
             id: idTicker.value++,
             env: {
               key: e.key,
-              value: e.secret
-                ? (secretEnvironmentService.getSecretEnvironmentVariable(
-                    editingID.value ?? "",
-                    index
-                  )?.value ??
-                  // @ts-expect-error `value` field can exist for secret environment variables as inferred while importing
-                  e.value ??
-                  "")
-                : e.value,
+              currentValue:
+                getCurrentValue(
+                  props.editingEnvironment?.id ?? "",
+                  index,
+                  e.secret
+                ) ?? "",
+              initialValue: e.initialValue,
               secret: e.secret,
             },
           }))
@@ -339,7 +369,8 @@ const addEnvironmentVariable = () => {
     id: idTicker.value++,
     env: {
       key: "",
-      value: "",
+      currentValue: "",
+      initialValue: "",
       secret: selectedEnvOption.value === "secret",
     },
   })
@@ -377,17 +408,38 @@ const saveEnvironment = async () => {
   const secretVariables = pipe(
     filteredVariables,
     A.filterMapWithIndex((i, e) =>
-      e.secret ? O.some({ key: e.key, value: e.value, varIndex: i }) : O.none
+      e.secret
+        ? O.some({ key: e.key, value: e.currentValue, varIndex: i })
+        : O.none
+    )
+  )
+
+  const nonSecretVariables = pipe(
+    filteredVariables,
+    A.filterMapWithIndex((i, e) =>
+      !e.secret
+        ? O.some({
+            key: e.key,
+            currentValue: e.currentValue,
+            varIndex: i,
+            isSecret: e.secret,
+          })
+        : O.none
     )
   )
 
   const variables = pipe(
     filteredVariables,
-    A.map((e) => (e.secret ? { key: e.key, secret: e.secret } : e))
+    A.map((e) => ({
+      key: e.key,
+      secret: e.secret,
+      initialValue: e.initialValue,
+      currentValue: "",
+    }))
   )
 
   const environmentUpdated: Environment = {
-    v: 1,
+    v: 2,
     id: editingID.value ?? "",
     name: editingName.value,
     variables,
@@ -419,6 +471,10 @@ const saveEnvironment = async () => {
                 envID,
                 secretVariables
               )
+              currentEnvironmentValueService.addEnvironment(
+                envID,
+                nonSecretVariables
+              )
             }
             hideModal()
             toast.success(`${t("environment.created")}`)
@@ -463,7 +519,14 @@ const saveEnvironment = async () => {
           () => {
             hideModal()
             toast.success(`${t("environment.updated")}`)
+
             isLoading.value = false
+            if (editingID.value) {
+              currentEnvironmentValueService.addEnvironment(
+                editingID.value,
+                nonSecretVariables
+              )
+            }
           }
         )
       )()
diff --git a/packages/hoppscotch-common/src/components/environments/teams/Environment.vue b/packages/hoppscotch-common/src/components/environments/teams/Environment.vue
index c8ede431..62e80df5 100644
--- a/packages/hoppscotch-common/src/components/environments/teams/Environment.vue
+++ b/packages/hoppscotch-common/src/components/environments/teams/Environment.vue
@@ -166,6 +166,7 @@ import IconEdit from "~icons/lucide/edit"
 import IconMoreVertical from "~icons/lucide/more-vertical"
 import IconSettings2 from "~icons/lucide/settings-2"
 import IconTrash2 from "~icons/lucide/trash-2"
+import { CurrentValueService } from "~/services/current-environment-value.service"
 
 const t = useI18n()
 const toast = useToast()
@@ -183,6 +184,7 @@ const emit = defineEmits<{
 }>()
 
 const secretEnvironmentService = useService(SecretEnvironmentService)
+const currentEnvironmentValueService = useService(CurrentValueService)
 
 const confirmRemove = ref(false)
 
@@ -214,6 +216,7 @@ const removeEnvironment = () => {
       () => {
         toast.success(`${t("team_environment.deleted")}`)
         secretEnvironmentService.deleteSecretEnvironment(props.environment.id)
+        currentEnvironmentValueService.deleteEnvironment(props.environment.id)
       }
     )
   )()
diff --git a/packages/hoppscotch-common/src/components/http/Headers.vue b/packages/hoppscotch-common/src/components/http/Headers.vue
index 9bcba698..20b74b4e 100644
--- a/packages/hoppscotch-common/src/components/http/Headers.vue
+++ b/packages/hoppscotch-common/src/components/http/Headers.vue
@@ -269,7 +269,6 @@ import linter from "~/helpers/editor/linting/rawKeyValue"
 import { throwError } from "~/helpers/functional/error"
 import { objRemoveKey } from "~/helpers/functional/object"
 import { commonHeaders } from "~/helpers/headers"
-import { HoppInheritedProperty } from "~/helpers/types/HoppInheritedProperties"
 import {
   ComputedHeader,
   getComputedAuthHeaders,
@@ -279,6 +278,7 @@ import {
   AggregateEnvironment,
   aggregateEnvs$,
   getAggregateEnvs,
+  getCurrentEnvironment,
 } from "~/newstore/environments"
 import { toggleNestedSetting } from "~/newstore/settings"
 import { InspectionService, InspectorResult } from "~/services/inspection"
@@ -294,6 +294,8 @@ import IconPlus from "~icons/lucide/plus"
 import IconTrash2 from "~icons/lucide/trash-2"
 import IconWrapText from "~icons/lucide/wrap-text"
 import { RESTOptionTabs } from "./RequestOptions.vue"
+import { CurrentValueService } from "~/services/current-environment-value.service"
+import { HoppInheritedProperty } from "~/helpers/types/HoppInheritedProperties"
 
 const t = useI18n()
 const toast = useToast()
@@ -311,6 +313,8 @@ const WRAP_LINES = useNestedSetting("WRAP_LINES", "httpHeaders")
 
 const deletionToast = ref<{ goAway: (delay: number) => void } | null>(null)
 
+const currentEnvironmentValueService = useService(CurrentValueService)
+
 // v-model integration with props and emit
 const props = defineProps<{
   modelValue:
@@ -554,9 +558,25 @@ const computedHeaders: Ref<
   }[]
 > = ref([])
 
+const currentSelectedEnvironment = getCurrentEnvironment()
+
 watch([props.modelValue, aggregateEnvs], async () => {
+  const resolvedEnvs = aggregateEnvs.value.map((env) => {
+    return {
+      ...env,
+      currentValue:
+        env.currentValue !== ""
+          ? env.currentValue
+          : (currentEnvironmentValueService.getEnvironmentByKey(
+              env?.sourceEnv !== "Global"
+                ? currentSelectedEnvironment.id
+                : "Global",
+              env?.key ?? ""
+            )?.currentValue ?? ""),
+    }
+  })
   computedHeaders.value = (
-    await getComputedHeaders(props.modelValue, aggregateEnvs.value, false)
+    await getComputedHeaders(props.modelValue, resolvedEnvs, true)
   ).map((header, index) => ({
     id: `header-${index}`,
     ...header,
diff --git a/packages/hoppscotch-common/src/components/smart/EnvInput.vue b/packages/hoppscotch-common/src/components/smart/EnvInput.vue
index b4e9adda..0ee02e0a 100644
--- a/packages/hoppscotch-common/src/components/smart/EnvInput.vue
+++ b/packages/hoppscotch-common/src/components/smart/EnvInput.vue
@@ -5,10 +5,10 @@
     >
       <input
         v-if="isSecret"
-        id="secret"
+        :id="`secret-${uniqueID()}`"
         v-model="secretText"
         name="secret"
-        :placeholder="t('environment.secret_value')"
+        :placeholder="placeholder"
         class="flex flex-1 bg-transparent pl-4"
         :class="styles"
         type="password"
@@ -97,6 +97,7 @@ import { CompletionContext, autocompletion } from "@codemirror/autocomplete"
 import { useService } from "dioc/vue"
 import { RESTTabService } from "~/services/tab/rest"
 import { syntaxTree } from "@codemirror/language"
+import { uniqueID } from "~/helpers/utils/uniqueID"
 
 const t = useI18n()
 
@@ -374,11 +375,13 @@ const envVars = computed(() => {
   if (props.envs) {
     return props.envs.map((x) => {
       const { key, secret } = x
-      const value = secret ? "********" : x.value
+      const currentValue = secret ? "********" : x.currentValue
+      const initialValue = secret ? "********" : x.initialValue
       const sourceEnv = "sourceEnv" in x ? x.sourceEnv : null
       return {
         key,
-        value,
+        currentValue,
+        initialValue,
         sourceEnv,
         secret,
       }
@@ -393,12 +396,14 @@ const envVars = computed(() => {
         ? tabs.currentActiveTab.value.document.request.requestVariables
         : []
 
+  // Transform request variables to match the env format
   return [
     ...requestVariables.map(({ active, key, value }) =>
       active
         ? {
             key,
-            value,
+            currentValue: value,
+            initialValue: value,
             sourceEnv: "RequestVariable",
             secret: false,
           }
@@ -412,7 +417,7 @@ function envAutoCompletion(context: CompletionContext) {
   const options = (envVars.value ?? [])
     .map((env) => ({
       label: env?.key ? `<<${env.key}>>` : "",
-      info: env?.value ?? "",
+      info: env?.currentValue ?? "",
       apply: env?.key ? `<<${env.key}>>` : "",
     }))
     .filter(Boolean)
@@ -539,6 +544,7 @@ const getExtensions = (readonly: boolean): Extension => {
           override: [envAutoCompletion],
         })
       : [],
+
     ViewPlugin.fromClass(
       class {
         update(update: ViewUpdate) {
diff --git a/packages/hoppscotch-common/src/helpers/RequestRunner.ts b/packages/hoppscotch-common/src/helpers/RequestRunner.ts
index 66ea291e..2415318f 100644
--- a/packages/hoppscotch-common/src/helpers/RequestRunner.ts
+++ b/packages/hoppscotch-common/src/helpers/RequestRunner.ts
@@ -44,8 +44,13 @@ import {
   getTemporaryVariables,
   setTemporaryVariables,
 } from "./runner/temp_envs"
+import {
+  CurrentValueService,
+  Variable,
+} from "~/services/current-environment-value.service"
 
 const secretEnvironmentService = getService(SecretEnvironmentService)
+const currentEnvironmentValueService = getService(CurrentValueService)
 
 export const getTestableBody = (
   res: HoppRESTResponse & { type: "success" | "fail" }
@@ -99,11 +104,12 @@ export const executedResponses$ = new Subject<
  * @param type Whether the environment variables are global or selected
  * @returns the updated environment variables
  */
-const updateEnvironmentsWithSecret = (
+const updateEnvironments = (
   envs: Environment["variables"] &
     {
       secret: true
-      value: string | undefined
+      currentValue: string
+      initialValue: string
       key: string
     }[],
   type: "global" | "selected"
@@ -112,6 +118,7 @@ const updateEnvironmentsWithSecret = (
     type === "selected" ? getCurrentEnvironment().id : "Global"
 
   const updatedSecretEnvironments: SecretVariable[] = []
+  const nonSecretVariables: Variable[] = []
 
   const updatedEnv = pipe(
     envs,
@@ -119,16 +126,35 @@ const updateEnvironmentsWithSecret = (
       if (e.secret) {
         updatedSecretEnvironments.push({
           key: e.key,
-          value: e.value ?? "",
+          value: e.currentValue ?? "",
           varIndex: index,
         })
 
         // delete the value from the environment
         // so that it doesn't get saved in the environment
-        delete e.value
-        return e
+
+        return {
+          key: e.key,
+          secret: e.secret,
+          initialValue: e.initialValue ?? "",
+          currentValue: "",
+        }
+      }
+
+      nonSecretVariables.push({
+        key: e.key,
+        isSecret: e.secret,
+        varIndex: index,
+        currentValue: e.currentValue ?? "",
+      })
+      // set the current value as empty string
+      // so that it doesn't get saved in the environment
+      return {
+        key: e.key,
+        secret: e.secret,
+        initialValue: e.initialValue ?? "",
+        currentValue: "",
       }
-      return e
     })
   )
   if (currentEnvID) {
@@ -136,10 +162,39 @@ const updateEnvironmentsWithSecret = (
       currentEnvID,
       updatedSecretEnvironments
     )
+
+    currentEnvironmentValueService.addEnvironment(
+      currentEnvID,
+      nonSecretVariables
+    )
   }
   return updatedEnv
 }
 
+/**
+ * Get the environment variable value from the current environment
+ * @param envID The environment ID
+ * @param index The index of the environment variable
+ * @param isSecret Whether the environment variable is a secret
+ * @returns The environment variable value
+ */
+const getEnvironmentVariableValue = (
+  envID: string,
+  index: number,
+  isSecret: boolean
+): string | undefined => {
+  if (isSecret) {
+    return secretEnvironmentService.getSecretEnvironmentVariableValue(
+      envID,
+      index
+    )
+  }
+  return currentEnvironmentValueService.getEnvironmentVariableValue(
+    envID,
+    index
+  )
+}
+
 /**
  * Transforms the environment list to a list with unique keys with value
  * @param envs The environment list to be transformed
@@ -149,7 +204,6 @@ const filterNonEmptyEnvironmentVariables = (
   envs: Environment["variables"]
 ): Environment["variables"] => {
   const envsMap = new Map<string, Environment["variables"][number]>()
-
   envs.forEach((env) => {
     if (env.secret) {
       envsMap.set(env.key, env)
@@ -158,9 +212,9 @@ const filterNonEmptyEnvironmentVariables = (
 
       if (
         existingEnv &&
-        "value" in existingEnv &&
-        existingEnv.value === "" &&
-        env.value !== ""
+        "currentValue" in existingEnv &&
+        existingEnv.currentValue === "" &&
+        env.currentValue !== ""
       ) {
         envsMap.set(env.key, env)
       }
@@ -231,7 +285,8 @@ export function runRESTRequest$(
           if (v.active) {
             return {
               key: v.key,
-              value: v.value,
+              initialValue: v.value,
+              currentValue: v.value,
               secret: false,
             }
           }
@@ -256,7 +311,7 @@ export function runRESTRequest$(
 
     const effectiveRequest = await getEffectiveRESTRequest(finalRequest, {
       id: "env-id",
-      v: 1,
+      v: 2,
       name: "Env",
       variables: finalEnvsWithNonEmptyValues,
     })
@@ -269,10 +324,7 @@ export function runRESTRequest$(
       .pipe(filter((res) => res.type === "success" || res.type === "fail"))
       .subscribe(async (res) => {
         if (res.type === "success" || res.type === "fail") {
-          executedResponses$.next(
-            // @ts-expect-error Typescript can't figure out this inference for some reason
-            res
-          )
+          executedResponses$.next(res)
 
           const runResult = await runTestScript(
             res.req.testScript,
@@ -287,10 +339,10 @@ export function runRESTRequest$(
           if (E.isRight(runResult)) {
             // set the response in the tab so that multiple tabs can run request simultaneously
             tab.value.document.response = res
-            const updatedRunResult = updateEnvsAfterTestScript(runResult)
-            tab.value.document.testResults =
-              // @ts-expect-error Typescript can't figure out this inference for some reason
-              translateToSandboxTestResults(updatedRunResult)
+            tab.value.document.testResults = translateToSandboxTestResults(
+              runResult.right
+            )
+            updateEnvsAfterTestScript(runResult)
           } else {
             tab.value.document.testResults = {
               description: "",
@@ -323,13 +375,13 @@ export function runRESTRequest$(
 }
 
 function updateEnvsAfterTestScript(runResult: E.Right<SandboxTestResult>) {
-  const updatedGlobalEnvVariables = updateEnvironmentsWithSecret(
+  const updatedGlobalEnvVariables = updateEnvironments(
     // @ts-expect-error Typescript can't figure out this inference for some reason
     cloneDeep(runResult.right.envs.global),
     "global"
   )
 
-  const updatedSelectedEnvVariables = updateEnvironmentsWithSecret(
+  const updatedSelectedEnvVariables = updateEnvironments(
     // @ts-expect-error Typescript can't figure out this inference for some reason
     cloneDeep(runResult.right.envs.selected),
     "selected"
@@ -343,14 +395,14 @@ function updateEnvsAfterTestScript(runResult: E.Right<SandboxTestResult>) {
     },
   }
 
-  const globalEnvVariables = updateEnvironmentsWithSecret(
+  const globalEnvVariables = updateEnvironments(
     // @ts-expect-error Typescript can't figure out this inference for some reason
     runResult.right.envs.global,
     "global"
   )
 
   setGlobalEnvVariables({
-    v: 1,
+    v: 2,
     variables: globalEnvVariables,
   })
   if (environmentsStore.value.selectedEnvironmentIndex.type === "MY_ENV") {
@@ -360,7 +412,7 @@ function updateEnvsAfterTestScript(runResult: E.Right<SandboxTestResult>) {
     })
     updateEnvironment(environmentsStore.value.selectedEnvironmentIndex.index, {
       name: env.name,
-      v: 1,
+      v: 2,
       id: "id" in env ? env.id : "",
       variables: updatedRunResult.envs.selected,
     })
@@ -411,7 +463,7 @@ export function runTestRunnerRequest(
 
     const effectiveRequest = await getEffectiveRESTRequest(request, {
       id: "env-id",
-      v: 1,
+      v: 2,
       name: "Env",
       variables: combineEnvVariables({
         environments: {
@@ -429,10 +481,7 @@ export function runTestRunnerRequest(
       .toPromise()
       .then(async (res) => {
         if (res?.type === "success" || res?.type === "fail") {
-          executedResponses$.next(
-            // @ts-expect-error Typescript can't figure out this inference for some reason
-            res
-          )
+          executedResponses$.next(res)
 
           const runResult = await runTestScript(
             res.req.testScript,
@@ -528,12 +577,12 @@ const getUpdatedEnvVariables = (
         ),
         O.chain(
           O.fromPredicate(
-            ({ env, index }) => env.value !== current[index].value
+            ({ env, index }) => env.currentValue !== current[index].currentValue
           )
         ),
         O.map(({ env, index }) => ({
           ...env,
-          previousValue: current[index].value,
+          previousValue: current[index].currentValue,
         }))
       )
     )
@@ -550,8 +599,21 @@ function translateToSandboxTestResults(
     }
   }
 
-  const globals = cloneDeep(getGlobalVariables())
-  const env = getCurrentEnvironment()
+  const globals = cloneDeep(getGlobalVariables()).map((g, index) => ({
+    ...g,
+    currentValue: getEnvironmentVariableValue("Global", index, g.secret) ?? "",
+  }))
+
+  const envVars = getCurrentEnvironment().variables.map((e, index) => ({
+    ...e,
+    currentValue:
+      getEnvironmentVariableValue(
+        getCurrentEnvironment().id,
+        index,
+        e.secret
+      ) ?? "",
+  }))
+
   return {
     description: "",
     expectResults: testDesc.tests.expectResults,
@@ -564,15 +626,9 @@ function translateToSandboxTestResults(
         updations: getUpdatedEnvVariables(globals, testDesc.envs.global),
       },
       selected: {
-        additions: getAddedEnvVariables(env.variables, testDesc.envs.selected),
-        deletions: getRemovedEnvVariables(
-          env.variables,
-          testDesc.envs.selected
-        ),
-        updations: getUpdatedEnvVariables(
-          env.variables,
-          testDesc.envs.selected
-        ),
+        additions: getAddedEnvVariables(envVars, testDesc.envs.selected),
+        deletions: getRemovedEnvVariables(envVars, testDesc.envs.selected),
+        updations: getUpdatedEnvVariables(envVars, testDesc.envs.selected),
       },
     },
   }
diff --git a/packages/hoppscotch-common/src/helpers/editor/extensions/HoppEnvironment.ts b/packages/hoppscotch-common/src/helpers/editor/extensions/HoppEnvironment.ts
index 94dfc938..d6c7c46f 100644
--- a/packages/hoppscotch-common/src/helpers/editor/extensions/HoppEnvironment.ts
+++ b/packages/hoppscotch-common/src/helpers/editor/extensions/HoppEnvironment.ts
@@ -26,6 +26,7 @@ import IconEdit from "~icons/lucide/edit?raw"
 import IconUser from "~icons/lucide/user?raw"
 import IconUsers from "~icons/lucide/users?raw"
 import { isComment } from "./helpers"
+import { CurrentValueService } from "~/services/current-environment-value.service"
 
 const HOPP_ENVIRONMENT_REGEX = /(<<[a-zA-Z0-9-_]+>>)/g
 
@@ -38,6 +39,8 @@ const HOPP_GLOBAL_ENVIRONMENT_HIGHLIGHT = "global-variable-highlight"
 const HOPP_ENV_HIGHLIGHT_NOT_FOUND = "environment-not-found-highlight"
 
 const secretEnvironmentService = getService(SecretEnvironmentService)
+const currentEnvironmentValueService = getService(CurrentValueService)
+
 const restTabs = getService(RESTTabService)
 
 /**
@@ -54,7 +57,7 @@ const filterNonEmptyEnvironmentVariables = (
     if (envsMap.has(env.key)) {
       const existingEnv = envsMap.get(env.key)
 
-      if (existingEnv?.value === "" && env.value !== "") {
+      if (existingEnv?.currentValue === "" && env.currentValue !== "") {
         envsMap.set(env.key, env)
       }
     } else {
@@ -110,11 +113,20 @@ const cursorTooltipField = (aggregateEnvs: AggregateEnvironment[]) =>
         (env) => env.key === parsedEnvKey
       )
 
+      const currentSelectedEnvironment = getCurrentEnvironment()
+
       const envName = tooltipEnv?.sourceEnv ?? "Choose an Environment"
 
       let envValue = "Not Found"
-
-      const currentSelectedEnvironment = getCurrentEnvironment()
+      const envTooltipValue =
+        tooltipEnv?.sourceEnv !== "RequestVariable"
+          ? (currentEnvironmentValueService.getEnvironmentByKey(
+              tooltipEnv?.sourceEnv !== "Global"
+                ? currentSelectedEnvironment.id
+                : "Global",
+              tooltipEnv?.key ?? ""
+            )?.currentValue ?? "")
+          : tooltipEnv?.currentValue
 
       const hasSecretEnv = secretEnvironmentService.hasSecretValue(
         tooltipEnv?.sourceEnv !== "Global"
@@ -123,14 +135,15 @@ const cursorTooltipField = (aggregateEnvs: AggregateEnvironment[]) =>
         tooltipEnv?.key ?? ""
       )
 
-      if (!tooltipEnv?.secret && tooltipEnv?.value) envValue = tooltipEnv.value
-      else if (tooltipEnv?.secret && hasSecretEnv) {
+      if (!tooltipEnv?.secret && envTooltipValue) {
+        envValue = envTooltipValue
+      } else if (tooltipEnv?.secret && hasSecretEnv) {
         envValue = "******"
       } else if (tooltipEnv?.secret && !hasSecretEnv) {
         envValue = "Empty"
       } else if (!tooltipEnv?.sourceEnv) {
         envValue = "Not Found"
-      } else if (!tooltipEnv?.value) {
+      } else if (!envTooltipValue) {
         envValue = "Empty"
       }
 
@@ -295,7 +308,8 @@ export class HoppEnvironmentPlugin {
         this.envs = [
           ...requestVariables.map(({ key, value }) => ({
             key,
-            value,
+            currentValue: value,
+            initialValue: value,
             sourceEnv: "RequestVariable",
             secret: false,
           })),
@@ -318,7 +332,8 @@ export class HoppEnvironmentPlugin {
       this.envs = [
         ...requestVariables.map(({ key, value }) => ({
           key,
-          value,
+          currentValue: value,
+          initialValue: value,
           sourceEnv: "RequestVariable",
           secret: false,
         })),
diff --git a/packages/hoppscotch-common/src/helpers/import-export/export/environment.ts b/packages/hoppscotch-common/src/helpers/import-export/export/environment.ts
index 3fe79b71..2ea673d8 100644
--- a/packages/hoppscotch-common/src/helpers/import-export/export/environment.ts
+++ b/packages/hoppscotch-common/src/helpers/import-export/export/environment.ts
@@ -19,7 +19,7 @@ const getEnvironmentJSON = (
       ? environmentIndex
       : environmentObj.id
 
-  // Eliminate `value` field from secret environment variables prior to export
+  // Eliminate `currentValue` field from environment variables prior to export
   const transformedEnvironment = transformEnvironmentVariables(newEnvironment)
 
   return environmentId !== null
@@ -39,17 +39,16 @@ export const transformEnvironmentVariables = ({
     v,
     name,
     variables: variables.map((variable) => {
-      const { key, secret } = variable
+      const { key, secret, initialValue } = variable
 
-      // Eliminate `value` field for secret environment variables
-      if (secret) {
-        return {
-          key,
-          secret,
-        }
+      // Eliminate `currentValue` field for secret environment variables and currentValue
+
+      return {
+        key,
+        secret,
+        initialValue,
+        currentValue: "",
       }
-
-      return variable
     }),
   }
 }
diff --git a/packages/hoppscotch-common/src/helpers/import-export/import/hoppEnv.ts b/packages/hoppscotch-common/src/helpers/import-export/import/hoppEnv.ts
index dbc349f1..f3f4f9b4 100644
--- a/packages/hoppscotch-common/src/helpers/import-export/import/hoppEnv.ts
+++ b/packages/hoppscotch-common/src/helpers/import-export/import/hoppEnv.ts
@@ -24,8 +24,8 @@ export const hoppEnvImporter = (contents: string[]) => {
           ...contentEntry,
           variables: contentEntry.variables?.map((valueEntry) => ({
             ...valueEntry,
-            ...("value" in valueEntry
-              ? { value: String(valueEntry.value) }
+            ...("initialValue" in valueEntry
+              ? { value: String(valueEntry.initialValue) }
               : {}),
           })),
         }
diff --git a/packages/hoppscotch-common/src/helpers/import-export/import/insomniaEnv.ts b/packages/hoppscotch-common/src/helpers/import-export/import/insomniaEnv.ts
index ae0af909..73ec2b0c 100644
--- a/packages/hoppscotch-common/src/helpers/import-export/import/insomniaEnv.ts
+++ b/packages/hoppscotch-common/src/helpers/import-export/import/insomniaEnv.ts
@@ -64,14 +64,18 @@ export const insomniaEnvImporter = (contents: string[]) => {
 
   insomniaEnvs.forEach((insomniaEnv) => {
     const parsedInsomniaEnv = insomniaEnvSchema.safeParse(insomniaEnv)
-
     if (parsedInsomniaEnv.success) {
       const environment: NonSecretEnvironment = {
         id: uniqueID(),
-        v: 1,
+        v: 2,
         name: parsedInsomniaEnv.data.name,
         variables: Object.entries(parsedInsomniaEnv.data.data).map(
-          ([key, value]) => ({ key, value, secret: false })
+          ([key, value]) => ({
+            key,
+            initialValue: value,
+            currentValue: value,
+            secret: false,
+          })
         ),
       }
 
@@ -83,7 +87,8 @@ export const insomniaEnvImporter = (contents: string[]) => {
     ...env,
     variables: env.variables.map((variable) => ({
       ...variable,
-      value: replaceInsomniaTemplating(variable.value),
+      initialValue: replaceInsomniaTemplating(variable.initialValue),
+      currentValue: replaceInsomniaTemplating(variable.currentValue),
     })),
   }))
 
diff --git a/packages/hoppscotch-common/src/helpers/import-export/import/postmanEnv.ts b/packages/hoppscotch-common/src/helpers/import-export/import/postmanEnv.ts
index 7af36311..1c7d30fa 100644
--- a/packages/hoppscotch-common/src/helpers/import-export/import/postmanEnv.ts
+++ b/packages/hoppscotch-common/src/helpers/import-export/import/postmanEnv.ts
@@ -52,11 +52,12 @@ export const postmanEnvImporter = (contents: string[]) => {
   const environments: Environment[] = validationResult.data.map(
     ({ name, values }) => ({
       id: uniqueID(),
-      v: 1,
+      v: 2,
       name,
       variables: values.map(({ key, value, type }) => ({
         key,
-        value,
+        initialValue: value,
+        currentValue: value,
         secret: type === "secret",
       })),
     })
diff --git a/packages/hoppscotch-common/src/helpers/preRequest.ts b/packages/hoppscotch-common/src/helpers/preRequest.ts
index 0b06f37d..b345dd23 100644
--- a/packages/hoppscotch-common/src/helpers/preRequest.ts
+++ b/packages/hoppscotch-common/src/helpers/preRequest.ts
@@ -10,10 +10,18 @@ import {
 import { TestResult } from "@hoppscotch/js-sandbox"
 import { getService } from "~/modules/dioc"
 import { SecretEnvironmentService } from "~/services/secret-environment.service"
+import { CurrentValueService } from "~/services/current-environment-value.service"
 
 const secretEnvironmentService = getService(SecretEnvironmentService)
+const currentEnvironmentValueService = getService(CurrentValueService)
 
-const unsecretEnvironments = (
+/**
+ * Populate the currentValue of the environment variables and set the secret values
+ * @param selected
+ * @param global
+ * @returns
+ */
+const unWrapEnvironments = (
   selected: Environment,
   global: Environment["variables"]
 ) => {
@@ -22,18 +30,18 @@ const unsecretEnvironments = (
       "Global",
       index
     )
+    const currentVar = currentEnvironmentValueService.getEnvironmentVariable(
+      "Global",
+      index
+    )
+
     if (secretVar) {
       return {
         ...globalVar,
-        value: secretVar.value,
-      }
-    } else if (!("value" in globalVar) || !globalVar.value) {
-      return {
-        ...globalVar,
-        value: "",
+        currentValue: secretVar.value,
       }
     }
-    return globalVar
+    return { ...globalVar, currentValue: currentVar?.currentValue ?? "" }
   })
 
   const resolvedSelectedWithSecrets = selected.variables.map(
@@ -42,18 +50,17 @@ const unsecretEnvironments = (
         selected.id,
         index
       )
+      const currentVar = currentEnvironmentValueService.getEnvironmentVariable(
+        selected.id,
+        index
+      )
       if (secretVar) {
         return {
           ...selectedVar,
-          value: secretVar.value,
-        }
-      } else if (!("value" in selectedVar) || !selectedVar.value) {
-        return {
-          ...selectedVar,
-          value: "",
+          currentValue: secretVar.value,
         }
       }
-      return selectedVar
+      return { ...selectedVar, currentValue: currentVar?.currentValue ?? "" }
     }
   )
 
@@ -64,7 +71,7 @@ const unsecretEnvironments = (
 }
 
 export const getCombinedEnvVariables = (temp?: Environment["variables"]) => {
-  const reformedVars = unsecretEnvironments(
+  const reformedVars = unWrapEnvironments(
     getCurrentEnvironment(),
     getGlobalVariables()
   )
diff --git a/packages/hoppscotch-common/src/helpers/teams/TeamEnvironmentAdapter.ts b/packages/hoppscotch-common/src/helpers/teams/TeamEnvironmentAdapter.ts
index 98bb0dec..fcd94fb6 100644
--- a/packages/hoppscotch-common/src/helpers/teams/TeamEnvironmentAdapter.ts
+++ b/packages/hoppscotch-common/src/helpers/teams/TeamEnvironmentAdapter.ts
@@ -118,7 +118,7 @@ export default class TeamEnvironmentAdapter {
               id: x.id,
               teamID: x.teamID,
               environment: {
-                v: 1,
+                v: 2,
                 id: x.id,
                 name: x.name,
                 variables: JSON.parse(x.variables),
@@ -198,7 +198,7 @@ export default class TeamEnvironmentAdapter {
                 id: x.id,
                 teamID: x.teamID,
                 environment: {
-                  v: 1,
+                  v: 2,
                   id: x.id,
                   name: x.name,
                   variables: JSON.parse(x.variables),
@@ -253,7 +253,7 @@ export default class TeamEnvironmentAdapter {
                 id: x.id,
                 teamID: x.teamID,
                 environment: {
-                  v: 1,
+                  v: 2,
                   id: x.id,
                   name: x.name,
                   variables: JSON.parse(x.variables),
diff --git a/packages/hoppscotch-common/src/newstore/environments.ts b/packages/hoppscotch-common/src/newstore/environments.ts
index 6e3c3bf7..d662443c 100644
--- a/packages/hoppscotch-common/src/newstore/environments.ts
+++ b/packages/hoppscotch-common/src/newstore/environments.ts
@@ -25,14 +25,14 @@ export type SelectedEnvironmentIndex =
     }
 
 const defaultGlobalEnvironmentState: GlobalEnvironment = {
-  v: 1,
+  v: 2,
   variables: [],
 }
 
 const defaultEnvironmentsState = {
   environments: [
     {
-      v: 1,
+      v: 2,
       id: uniqueID(),
       name: "My Environment Variables",
       variables: [],
@@ -105,12 +105,12 @@ const dispatchers = defineDispatchers({
         envID
           ? {
               id: envID,
-              v: 1,
+              v: 2,
               name,
               variables,
             }
           : {
-              v: 1,
+              v: 2,
               id: uniqueID(),
               name,
               variables,
@@ -205,16 +205,26 @@ const dispatchers = defineDispatchers({
     {
       envIndex,
       key,
-      value,
+      initialValue,
+      currentValue,
       secret,
-    }: { envIndex: number; key: string; value: string; secret: boolean }
+    }: {
+      envIndex: number
+      key: string
+      initialValue: string
+      currentValue: string
+      secret: boolean
+    }
   ) {
     return {
       environments: environments.map((env, index) =>
         index === envIndex
           ? {
               ...env,
-              variables: [...env.variables, { key, value, secret }],
+              variables: [
+                ...env.variables,
+                { key, initialValue, currentValue, secret },
+              ],
             }
           : env
       ),
@@ -244,7 +254,12 @@ const dispatchers = defineDispatchers({
       vars,
     }: {
       envIndex: number
-      vars: { key: string; value: string; secret: boolean }[]
+      vars: {
+        key: string
+        initialValue: string
+        currentValue: string
+        secret: boolean
+      }[]
     }
   ) {
     return {
@@ -264,12 +279,14 @@ const dispatchers = defineDispatchers({
       envIndex,
       variableIndex,
       updatedKey,
-      updatedValue,
+      updatedInitialValue,
+      updatedCurrentValue,
     }: {
       envIndex: number
       variableIndex: number
       updatedKey: string
-      updatedValue: string
+      updatedInitialValue: string
+      updatedCurrentValue: string
     }
   ) {
     return {
@@ -279,7 +296,12 @@ const dispatchers = defineDispatchers({
               ...env,
               variables: env.variables.map((v, vIndex) =>
                 vIndex === variableIndex
-                  ? { key: updatedKey, value: updatedValue, secret: v.secret }
+                  ? {
+                      key: updatedKey,
+                      initialValue: updatedInitialValue,
+                      currentValue: updatedCurrentValue,
+                      secret: v.secret,
+                    }
                   : v
               ),
             }
@@ -380,7 +402,7 @@ export const currentEnvironment$: Observable<Environment | undefined> =
       if (selectedEnvironmentIndex.type === "NO_ENV_SELECTED") {
         const env: Environment = {
           name: "No environment",
-          v: 1,
+          v: 2,
           id: "",
           variables: [],
         }
@@ -395,7 +417,8 @@ export const currentEnvironment$: Observable<Environment | undefined> =
 
 export type AggregateEnvironment = {
   key: string
-  value: string
+  initialValue: string
+  currentValue: string
   secret: boolean
   sourceEnv: string
 }
@@ -415,7 +438,8 @@ export const aggregateEnvs$: Observable<AggregateEnvironment[]> = combineLatest(
     HOPP_SUPPORTED_PREDEFINED_VARIABLES.forEach(({ key, getValue }) => {
       effectiveAggregateEnvs.push({
         key,
-        value: getValue(),
+        currentValue: getValue(),
+        initialValue: getValue(),
         secret: false,
         sourceEnv: selectedEnv?.name ?? "Global",
       })
@@ -425,12 +449,16 @@ export const aggregateEnvs$: Observable<AggregateEnvironment[]> = combineLatest(
 
     selectedEnv?.variables.forEach((variable) => {
       const { key, secret } = variable
-      const value = "value" in variable ? variable.value : ""
+      const currentValue =
+        "currentValue" in variable ? variable.currentValue : ""
+      const initialValue =
+        "initialValue" in variable ? variable.initialValue : ""
 
       if (!aggregateEnvKeys.includes(key)) {
         effectiveAggregateEnvs.push({
           key,
-          value,
+          currentValue,
+          initialValue,
           secret,
           sourceEnv: selectedEnv.name,
         })
@@ -439,10 +467,19 @@ export const aggregateEnvs$: Observable<AggregateEnvironment[]> = combineLatest(
 
     globalEnv.variables.forEach((variable) => {
       const { key, secret } = variable
-      const value = "value" in variable ? variable.value : ""
+      const currentValue =
+        "currentValue" in variable ? variable.currentValue : ""
+      const initialValue =
+        "initialValue" in variable ? variable.initialValue : ""
 
       if (!aggregateEnvKeys.includes(key)) {
-        effectiveAggregateEnvs.push({ key, value, secret, sourceEnv: "Global" })
+        effectiveAggregateEnvs.push({
+          key,
+          currentValue,
+          initialValue,
+          secret,
+          sourceEnv: "Global",
+        })
       }
     })
 
@@ -455,26 +492,28 @@ export function getAggregateEnvs() {
   const currentEnv = getCurrentEnvironment()
   return [
     ...currentEnv.variables.map((x) => {
-      let value
+      let currentValue
       if (!x.secret) {
-        value = x.value
+        currentValue = x.currentValue
       }
 
       return <AggregateEnvironment>{
         key: x.key,
-        value,
+        initialValue: x.initialValue,
+        currentValue,
         secret: x.secret,
         sourceEnv: currentEnv.name,
       }
     }),
     ...getGlobalVariables().map((x) => {
-      let value
+      let currentValue
       if (!x.secret) {
-        value = x.value
+        currentValue = x.currentValue
       }
       return <AggregateEnvironment>{
         key: x.key,
-        value,
+        initialValue: x.initialValue,
+        currentValue,
         secret: x.secret,
         sourceEnv: "Global",
       }
@@ -486,36 +525,40 @@ export function getAggregateEnvsWithSecrets() {
   const currentEnv = getCurrentEnvironment()
   return [
     ...currentEnv.variables.map((x, index) => {
-      let value
+      let currentValue
       if (x.secret) {
-        value = secretEnvironmentService.getSecretEnvironmentVariableValue(
-          currentEnv.id,
-          index
-        )
+        currentValue =
+          secretEnvironmentService.getSecretEnvironmentVariableValue(
+            currentEnv.id,
+            index
+          )
       } else {
-        value = x.value
+        currentValue = x.currentValue
       }
 
       return <AggregateEnvironment>{
         key: x.key,
-        value,
+        currentValue,
+        initialValue: x.initialValue,
         secret: x.secret,
         sourceEnv: currentEnv.name,
       }
     }),
     ...getGlobalVariables().map((x, index) => {
-      let value
+      let currentValue
       if (x.secret) {
-        value = secretEnvironmentService.getSecretEnvironmentVariableValue(
-          "Global",
-          index
-        )
+        currentValue =
+          secretEnvironmentService.getSecretEnvironmentVariableValue(
+            "Global",
+            index
+          )
       } else {
-        value = x.value
+        currentValue = x.currentValue
       }
       return <AggregateEnvironment>{
         key: x.key,
-        value,
+        currentValue,
+        initialValue: x.initialValue,
         secret: x.secret,
         sourceEnv: "Global",
       }
@@ -528,36 +571,40 @@ export const aggregateEnvsWithSecrets$: Observable<AggregateEnvironment[]> =
     map(([selectedEnv, globalEnv]) => {
       const results: AggregateEnvironment[] = []
       selectedEnv?.variables.map((x, index) => {
-        let value
+        let currentValue
         if (x.secret) {
-          value = secretEnvironmentService.getSecretEnvironmentVariableValue(
-            selectedEnv.id,
-            index
-          )
+          currentValue =
+            secretEnvironmentService.getSecretEnvironmentVariableValue(
+              selectedEnv.id,
+              index
+            )
         } else {
-          value = x.value
+          currentValue = x.currentValue
         }
         results.push({
           key: x.key,
-          value: value ?? "",
+          currentValue: currentValue ?? "",
+          initialValue: x.initialValue,
           secret: x.secret,
           sourceEnv: selectedEnv.name,
         })
       })
 
       globalEnv.variables.map((x, index) => {
-        let value
+        let currentValue
         if (x.secret) {
-          value = secretEnvironmentService.getSecretEnvironmentVariableValue(
-            "Global",
-            index
-          )
+          currentValue =
+            secretEnvironmentService.getSecretEnvironmentVariableValue(
+              "Global",
+              index
+            )
         } else {
-          value = x.value
+          currentValue = x.currentValue
         }
         results.push({
           key: x.key,
-          value: value ?? "",
+          currentValue: currentValue ?? "",
+          initialValue: x.initialValue,
           secret: x.secret,
           sourceEnv: "Global",
         })
@@ -573,7 +620,7 @@ export function getCurrentEnvironment(): Environment {
     environmentsStore.value.selectedEnvironmentIndex.type === "NO_ENV_SELECTED"
   ) {
     return {
-      v: 1,
+      v: 2,
       id: "",
       name: "No environment",
       variables: [],
@@ -620,7 +667,7 @@ export function getLegacyGlobalEnvironment(): Environment | null {
 export function getGlobalVariables(): GlobalEnvironmentVariable[] {
   return environmentsStore.value.globals.variables.map(
     (env: GlobalEnvironmentVariable) => {
-      if (env.key && "value" in env && !("secret" in env)) {
+      if (env.key && "currentValue" in env && !("secret" in env)) {
         return {
           ...(env as GlobalEnvironmentVariable),
           secret: false,
@@ -765,7 +812,12 @@ export function updateEnvironment(envIndex: number, updatedEnv: Environment) {
 
 export function setEnvironmentVariables(
   envIndex: number,
-  vars: { key: string; value: string; secret: boolean }[]
+  vars: {
+    key: string
+    currentValue: string
+    initialValue: string
+    secret: boolean
+  }[]
 ) {
   environmentsStore.dispatch({
     dispatcher: "setEnvironmentVariables",
@@ -778,14 +830,25 @@ export function setEnvironmentVariables(
 
 export function addEnvironmentVariable(
   envIndex: number,
-  { key, value, secret }: { key: string; value: string; secret: boolean }
+  {
+    key,
+    currentValue,
+    initialValue,
+    secret,
+  }: {
+    key: string
+    currentValue: string
+    initialValue: string
+    secret: boolean
+  }
 ) {
   environmentsStore.dispatch({
     dispatcher: "addEnvironmentVariable",
     payload: {
       envIndex,
       key,
-      value,
+      currentValue,
+      initialValue,
       secret,
     },
   })
@@ -807,7 +870,11 @@ export function removeEnvironmentVariable(
 export function updateEnvironmentVariable(
   envIndex: number,
   variableIndex: number,
-  { key, value }: { key: string; value: string }
+  {
+    key,
+    currentValue,
+    initialValue,
+  }: { key: string; currentValue: string; initialValue: string }
 ) {
   environmentsStore.dispatch({
     dispatcher: "updateEnvironmentVariable",
@@ -815,7 +882,8 @@ export function updateEnvironmentVariable(
       envIndex,
       variableIndex,
       updatedKey: key,
-      updatedValue: value,
+      updatedCurrentValue: currentValue,
+      updatedInitialValue: initialValue,
     },
   })
 }
diff --git a/packages/hoppscotch-common/src/services/__tests__/current-environment-value.service.spec.ts b/packages/hoppscotch-common/src/services/__tests__/current-environment-value.service.spec.ts
new file mode 100644
index 00000000..5adf8520
--- /dev/null
+++ b/packages/hoppscotch-common/src/services/__tests__/current-environment-value.service.spec.ts
@@ -0,0 +1,178 @@
+import { describe, it, expect, beforeEach } from "vitest"
+import { TestContainer } from "dioc/testing"
+import {
+  CurrentValueService,
+  Variable,
+} from "../current-environment-value.service"
+
+describe("CurrentValueService", () => {
+  let container: TestContainer
+  let service: CurrentValueService
+
+  beforeEach(() => {
+    container = new TestContainer()
+    service = container.bind(CurrentValueService)
+  })
+
+  describe("addEnvironment", () => {
+    it("should add a new environment with the provided ID and variables", () => {
+      const id = "env1"
+      const vars: Variable[] = [
+        { key: "key1", currentValue: "value1", varIndex: 1, isSecret: false },
+      ]
+      service.addEnvironment(id, vars)
+      expect(service.environments.get(id)).toEqual(vars)
+    })
+  })
+
+  describe("getEnvironment", () => {
+    it("should return the variables of the specified environment", () => {
+      const id = "env1"
+      const vars: Variable[] = [
+        { key: "key1", currentValue: "value1", varIndex: 1, isSecret: false },
+      ]
+      service.environments.set(id, vars)
+      expect(service.getEnvironment(id)).toEqual(vars)
+    })
+
+    it("should return undefined for non-existent environment", () => {
+      expect(service.getEnvironment("nonexistent")).toBeUndefined()
+    })
+  })
+
+  describe("getEnvironmentVariable", () => {
+    it("should return the variable at the given index", () => {
+      const id = "env1"
+      const vars: Variable[] = [
+        { key: "key1", currentValue: "value1", varIndex: 1, isSecret: false },
+      ]
+      service.environments.set(id, vars)
+      expect(service.getEnvironmentVariable(id, 1)).toEqual(vars[0])
+    })
+
+    it("should return undefined for non-existent variable", () => {
+      const id = "env1"
+      const vars: Variable[] = [
+        { key: "key1", currentValue: "value1", varIndex: 1, isSecret: false },
+      ]
+      service.environments.set(id, vars)
+      expect(service.getEnvironmentVariable(id, 2)).toBeUndefined()
+    })
+  })
+
+  describe("getEnvironmentVariableValue", () => {
+    it("should return the value of the variable", () => {
+      const id = "env1"
+      const vars: Variable[] = [
+        { key: "key1", currentValue: "value1", varIndex: 1, isSecret: false },
+      ]
+      service.environments.set(id, vars)
+      expect(service.getEnvironmentVariableValue(id, 1)).toBe("value1")
+    })
+
+    it("should return undefined if variable doesn't exist", () => {
+      expect(service.getEnvironmentVariableValue("env1", 999)).toBeUndefined()
+    })
+  })
+
+  describe("loadEnvironmentsFromPersistedState", () => {
+    it("should load environments correctly", () => {
+      const state = {
+        env1: [{ key: "k", currentValue: "v", varIndex: 0, isSecret: false }],
+      }
+      service.loadEnvironmentsFromPersistedState(state)
+      expect(service.environments.get("env1")).toEqual(state.env1)
+    })
+  })
+
+  describe("deleteEnvironment", () => {
+    it("should delete the specified environment", () => {
+      const id = "env1"
+      service.environments.set(id, [])
+      service.deleteEnvironment(id)
+      expect(service.environments.has(id)).toBe(false)
+    })
+  })
+
+  describe("removeEnvironmentVariable", () => {
+    it("should remove the specified variable", () => {
+      const id = "env1"
+      const vars = [
+        { key: "key1", currentValue: "value1", varIndex: 1, isSecret: false },
+        { key: "key2", currentValue: "value2", varIndex: 2, isSecret: false },
+      ]
+      service.environments.set(id, vars)
+      service.removeEnvironmentVariable(id, 1)
+      expect(service.environments.get(id)).toEqual([vars[1]])
+    })
+
+    it("should not fail if variable does not exist", () => {
+      const id = "env1"
+      const vars = [
+        { key: "key1", currentValue: "value1", varIndex: 1, isSecret: false },
+      ]
+      service.environments.set(id, vars)
+      service.removeEnvironmentVariable(id, 999)
+      expect(service.environments.get(id)).toEqual(vars)
+    })
+  })
+
+  describe("updateEnvironmentID", () => {
+    it("should update the environment ID", () => {
+      const oldID = "old"
+      const newID = "new"
+      const vars = [
+        { key: "k", currentValue: "v", varIndex: 0, isSecret: false },
+      ]
+      service.environments.set(oldID, vars)
+      service.updateEnvironmentID(oldID, newID)
+      expect(service.environments.has(oldID)).toBe(false)
+      expect(service.environments.get(newID)).toEqual(vars)
+    })
+  })
+
+  describe("hasValue", () => {
+    it("should return true if a variable with the key and non-empty value exists", () => {
+      const id = "env1"
+      const vars = [
+        { key: "k", currentValue: "v", varIndex: 0, isSecret: true },
+      ]
+      service.environments.set(id, vars)
+      expect(service.hasValue(id, "k")).toBe(true)
+    })
+
+    it("should return false if no variable with key exists or value is empty", () => {
+      service.environments.set("env1", [
+        { key: "k", currentValue: "", varIndex: 0, isSecret: true },
+      ])
+      expect(service.hasValue("env1", "k")).toBe(false)
+    })
+  })
+
+  describe("getEnvironmentByKey", () => {
+    it("should return variable by key", () => {
+      const id = "env1"
+      const vars = [
+        { key: "k", currentValue: "v", varIndex: 1, isSecret: false },
+      ]
+      service.environments.set(id, vars)
+      expect(service.getEnvironmentByKey(id, "k")).toEqual(vars[0])
+    })
+
+    it("should return undefined if key not found", () => {
+      service.environments.set("env1", [])
+      expect(service.getEnvironmentByKey("env1", "k")).toBeUndefined()
+    })
+  })
+
+  describe("persistableEnvironments", () => {
+    it("should return the environments in persistable format", () => {
+      const id = "env1"
+      const vars = [
+        { key: "k", currentValue: "v", varIndex: 0, isSecret: false },
+      ]
+      service.environments.set(id, vars)
+      expect(service.persistableEnvironments.value).toEqual({ [id]: vars })
+    })
+  })
+})
diff --git a/packages/hoppscotch-common/src/services/current-environment-value.service.ts b/packages/hoppscotch-common/src/services/current-environment-value.service.ts
new file mode 100644
index 00000000..82e54acb
--- /dev/null
+++ b/packages/hoppscotch-common/src/services/current-environment-value.service.ts
@@ -0,0 +1,162 @@
+import { Service } from "dioc"
+import { cloneDeep } from "lodash-es"
+import { reactive, computed } from "vue"
+
+/**
+ * Defines a environment variable.
+ */
+export type Variable = {
+  key: string
+  currentValue: string
+  varIndex: number
+  isSecret: boolean
+}
+
+/**
+ * This service is used to store and manage current value of environment variables.
+ * The current value are not synced with the server.
+ * hence they are not persisted in the database. They are stored
+ * in the local storage of the browser.
+ */
+export class CurrentValueService extends Service {
+  public static readonly ID = "CURRENT_VALUE_SERVICE"
+
+  /**
+   * Map of current value of environments.
+   * The key is the ID of the environment.
+   * The value is the list of environment variables.
+   */
+  public environments = reactive(new Map<string, Variable[]>())
+
+  /**
+   * Add a new environment.
+   * @param id ID of the environment
+   * @param vars List of environment variables
+   */
+  public addEnvironment(id: string, vars: Variable[]) {
+    this.environments.set(id, vars)
+  }
+
+  /**
+   * Get a environment.
+   * @param id ID of the environment
+   */
+  public getEnvironment(id: string) {
+    return this.environments.get(id)
+  }
+
+  /**
+   * Add a new environment variable to the environment.
+   * If the environment does not exist, it will be created.
+   * @param id ID of the environment
+   * @param variable Environment variable to add
+   */
+  public addEnvironmentVariable(id: string, variable: Variable) {
+    const vars = this.getEnvironment(id)
+    if (vars) {
+      const newVars = cloneDeep(vars)
+      newVars.push(variable)
+      this.environments.set(id, newVars)
+    } else {
+      this.environments.set(id, [variable])
+    }
+  }
+
+  /**
+   * Get a environment variable.
+   * @param id ID of the environment
+   * @param varIndex Index of the variable in the environment
+   */
+  public getEnvironmentVariable(id: string, varIndex: number) {
+    const vars = this.getEnvironment(id)
+    return vars?.find((v) => v.varIndex === varIndex)
+  }
+
+  /**
+   * Used to get the value of a environment variable.
+   * @param id ID of the environment
+   * @param varIndex Index of the variable in the environment
+   */
+  public getEnvironmentVariableValue(id: string, varIndex: number) {
+    const variable = this.getEnvironmentVariable(id, varIndex)
+    return variable?.currentValue
+  }
+
+  /**
+   *
+   * @param environments Used to load environments from persisted state.
+   */
+  public loadEnvironmentsFromPersistedState(
+    environments: Record<string, Variable[]>
+  ) {
+    if (environments) {
+      this.environments.clear()
+
+      Object.entries(environments).forEach(([id, vars]) => {
+        this.addEnvironment(id, vars)
+      })
+    }
+  }
+
+  /**
+   * Delete a environment.
+   * @param id ID of the environment
+   */
+  public deleteEnvironment(id: string) {
+    this.environments.delete(id)
+  }
+
+  /**
+   * Delete a environment variable.
+   * @param id ID of the environment
+   * @param varIndex Index of the variable in the environment
+   */
+  public removeEnvironmentVariable(id: string, varIndex: number) {
+    const vars = this.getEnvironment(id)
+    const newVars = vars?.filter((v) => v.varIndex !== varIndex)
+    this.environments.set(id, newVars || [])
+  }
+
+  /**
+   * Used to update the ID of a environment.
+   * Used while syncing with the server.
+   * @param oldID old ID of the environment
+   * @param newID new ID of the environment
+   */
+  public updateEnvironmentID(oldID: string, newID: string) {
+    const vars = this.getEnvironment(oldID)
+    this.environments.set(newID, vars || [])
+    this.environments.delete(oldID)
+  }
+
+  /**
+   *
+   * @param id ID of the environment
+   * @param key Key of the variable to check the value exists
+   * @returns true if the key has a secret value
+   */
+  public hasValue(id: string, key: string) {
+    return (
+      this.environments.has(id) &&
+      this.environments
+        .get(id)!
+        .some((v) => v.key === key && v.currentValue !== "")
+    )
+  }
+
+  public getEnvironmentByKey(id: string, key: string) {
+    const vars = this.getEnvironment(id)
+    return vars?.find((v) => v.key === key)
+  }
+
+  /**
+   * Used to update the value of a environment variable.
+   */
+  public persistableEnvironments = computed(() => {
+    const environments: Record<string, Variable[]> = {}
+    this.environments.forEach((vars, id) => {
+      environments[id] = vars
+    })
+    return environments
+  })
+}
diff --git a/packages/hoppscotch-common/src/services/inspection/inspectors/__tests__/environment.inspector.spec.ts b/packages/hoppscotch-common/src/services/inspection/inspectors/__tests__/environment.inspector.spec.ts
index 541b7e48..90b950d5 100644
--- a/packages/hoppscotch-common/src/services/inspection/inspectors/__tests__/environment.inspector.spec.ts
+++ b/packages/hoppscotch-common/src/services/inspection/inspectors/__tests__/environment.inspector.spec.ts
@@ -4,6 +4,7 @@ import { EnvironmentInspectorService } from "../environment.inspector"
 import { InspectionService } from "../../index"
 import { getDefaultRESTRequest } from "~/helpers/rest/default"
 import { ref } from "vue"
+import { CurrentValueService } from "~/services/current-environment-value.service"
 
 vi.mock("~/modules/i18n", () => ({
   __esModule: true,
@@ -16,8 +17,18 @@ vi.mock("~/newstore/environments", async () => {
   return {
     __esModule: true,
     aggregateEnvsWithSecrets$: new BehaviorSubject([
-      { key: "EXISTING_ENV_VAR", value: "test_value", secret: false },
-      { key: "EXISTING_ENV_VAR_2", value: "", secret: false },
+      {
+        key: "EXISTING_ENV_VAR",
+        currentValue: "test_value",
+        initialValue: "test_value",
+        secret: false,
+      },
+      {
+        key: "EXISTING_ENV_VAR_2",
+        currentValue: "",
+        initialValue: "",
+        secret: false,
+      },
     ]),
     getCurrentEnvironment: () => ({
       id: "1",
@@ -25,7 +36,8 @@ vi.mock("~/newstore/environments", async () => {
       v: 1,
       variables: {
         key: "EXISTING_ENV_VAR",
-        value: "test_value",
+        currentValue: "test_value",
+        initialValue: "test_value",
         secret: false,
       },
     }),
@@ -75,6 +87,12 @@ describe("EnvironmentInspectorService", () => {
 
     it("should not return an inspector result when the URL contains defined environment variables", () => {
       const container = new TestContainer()
+      container.bindMock(CurrentValueService, {
+        hasValue: vi.fn((key) => {
+          if (key === "EXISTING_ENV_VAR_2") return false
+          return true
+        }),
+      })
       const envInspector = container.bind(EnvironmentInspectorService)
 
       const req = ref({
@@ -95,7 +113,12 @@ describe("EnvironmentInspectorService", () => {
         ...getDefaultRESTRequest(),
         endpoint: "http://example.com/api/data",
         headers: [
-          { key: "<<UNDEFINED_ENV_VAR>>", value: "some-value", active: true },
+          {
+            key: "<<UNDEFINED_ENV_VAR>>",
+            value: "some-value",
+            active: true,
+            description: "",
+          },
         ],
       })
 
@@ -115,13 +138,24 @@ describe("EnvironmentInspectorService", () => {
 
     it("should not return an inspector result when the headers contain defined environment variables", () => {
       const container = new TestContainer()
+      container.bindMock(CurrentValueService, {
+        hasValue: vi.fn((key) => {
+          if (key === "EXISTING_ENV_VAR_2") return false
+          return true
+        }),
+      })
       const envInspector = container.bind(EnvironmentInspectorService)
 
       const req = ref({
         ...getDefaultRESTRequest(),
         endpoint: "http://example.com/api/data",
         headers: [
-          { key: "<<EXISTING_ENV_VAR>>", value: "some-value", active: true },
+          {
+            key: "<<EXISTING_ENV_VAR>>",
+            value: "some-value",
+            active: true,
+            description: "",
+          },
         ],
       })
 
@@ -138,7 +172,12 @@ describe("EnvironmentInspectorService", () => {
         ...getDefaultRESTRequest(),
         endpoint: "http://example.com/api/data",
         params: [
-          { key: "<<UNDEFINED_ENV_VAR>>", value: "some-value", active: true },
+          {
+            key: "<<UNDEFINED_ENV_VAR>>",
+            value: "some-value",
+            active: true,
+            description: "",
+          },
         ],
       })
 
@@ -158,6 +197,12 @@ describe("EnvironmentInspectorService", () => {
 
     it("should not return an inspector result when the params contain defined environment variables", () => {
       const container = new TestContainer()
+      container.bindMock(CurrentValueService, {
+        hasValue: vi.fn((key) => {
+          if (key === "EXISTING_ENV_VAR") return false
+          return true
+        }),
+      })
       const envInspector = container.bind(EnvironmentInspectorService)
 
       const req = ref({
@@ -165,7 +210,12 @@ describe("EnvironmentInspectorService", () => {
         endpoint: "http://example.com/api/data",
         headers: [],
         params: [
-          { key: "<<EXISTING_ENV_VAR>>", value: "some-value", active: true },
+          {
+            key: "<<EXISTING_ENV_VAR>>",
+            value: "some-value",
+            active: true,
+            description: "",
+          },
         ],
       })
 
@@ -176,6 +226,12 @@ describe("EnvironmentInspectorService", () => {
 
     it("should return an inspector result when the URL contains empty value in a environment variable", () => {
       const container = new TestContainer()
+      container.bindMock(CurrentValueService, {
+        hasValue: vi.fn((key) => {
+          if (key === "EXISTING_ENV_VAR_2") return true
+          return false
+        }),
+      })
       const envInspector = container.bind(EnvironmentInspectorService)
 
       const req = ref({
@@ -190,6 +246,12 @@ describe("EnvironmentInspectorService", () => {
 
     it("should not return an inspector result when the URL contains non empty value in a environment variable", () => {
       const container = new TestContainer()
+      container.bindMock(CurrentValueService, {
+        hasValue: vi.fn((key) => {
+          if (key === "EXISTING_ENV_VAR") return false
+          return true
+        }),
+      })
       const envInspector = container.bind(EnvironmentInspectorService)
 
       const req = ref({
@@ -210,7 +272,12 @@ describe("EnvironmentInspectorService", () => {
         ...getDefaultRESTRequest(),
         endpoint: "http://example.com/api/data",
         headers: [
-          { key: "<<EXISTING_ENV_VAR_2>>", value: "some-value", active: true },
+          {
+            key: "<<EXISTING_ENV_VAR_2>>",
+            value: "some-value",
+            active: true,
+            description: "",
+          },
         ],
       })
 
@@ -221,13 +288,24 @@ describe("EnvironmentInspectorService", () => {
 
     it("should not return an inspector result when the headers contain non empty value in a environment variable", () => {
       const container = new TestContainer()
+      container.bindMock(CurrentValueService, {
+        hasValue: vi.fn((key) => {
+          if (key === "EXISTING_ENV_VAR") return false
+          return true
+        }),
+      })
       const envInspector = container.bind(EnvironmentInspectorService)
 
       const req = ref({
         ...getDefaultRESTRequest(),
         endpoint: "http://example.com/api/data",
         headers: [
-          { key: "<<EXISTING_ENV_VAR>>", value: "some-value", active: true },
+          {
+            key: "<<EXISTING_ENV_VAR>>",
+            value: "some-value",
+            active: true,
+            description: "",
+          },
         ],
       })
 
@@ -245,7 +323,12 @@ describe("EnvironmentInspectorService", () => {
         endpoint: "http://example.com/api/data",
         headers: [],
         params: [
-          { key: "<<EXISTING_ENV_VAR_2>>", value: "some-value", active: true },
+          {
+            key: "<<EXISTING_ENV_VAR_2>>",
+            value: "some-value",
+            active: true,
+            description: "",
+          },
         ],
       })
 
@@ -256,6 +339,12 @@ describe("EnvironmentInspectorService", () => {
 
     it("should not return an inspector result when the params contain non empty value in a environment variable", () => {
       const container = new TestContainer()
+      container.bindMock(CurrentValueService, {
+        hasValue: vi.fn((key) => {
+          if (key === "EXISTING_ENV_VAR") return false
+          return true
+        }),
+      })
       const envInspector = container.bind(EnvironmentInspectorService)
 
       const req = ref({
@@ -263,7 +352,12 @@ describe("EnvironmentInspectorService", () => {
         endpoint: "http://example.com/api/data",
         headers: [],
         params: [
-          { key: "<<EXISTING_ENV_VAR>>", value: "some-value", active: true },
+          {
+            key: "<<EXISTING_ENV_VAR>>",
+            value: "some-value",
+            active: true,
+            description: "",
+          },
         ],
       })
 
diff --git a/packages/hoppscotch-common/src/services/inspection/inspectors/environment.inspector.ts b/packages/hoppscotch-common/src/services/inspection/inspectors/environment.inspector.ts
index 5ba1ba19..a7fbead2 100644
--- a/packages/hoppscotch-common/src/services/inspection/inspectors/environment.inspector.ts
+++ b/packages/hoppscotch-common/src/services/inspection/inspectors/environment.inspector.ts
@@ -23,6 +23,7 @@ import { computed } from "vue"
 import { useStreamStatic } from "~/composables/stream"
 import { SecretEnvironmentService } from "~/services/secret-environment.service"
 import { RESTTabService } from "~/services/tab/rest"
+import { CurrentValueService } from "~/services/current-environment-value.service"
 
 const HOPP_ENVIRONMENT_REGEX = /(<<[a-zA-Z0-9-_]+>>)/g
 
@@ -46,6 +47,7 @@ export class EnvironmentInspectorService extends Service implements Inspector {
 
   private readonly inspection = this.bind(InspectionService)
   private readonly secretEnvs = this.bind(SecretEnvironmentService)
+  private readonly currentEnvs = this.bind(CurrentValueService)
   private readonly restTabs = this.bind(RESTTabService)
 
   private aggregateEnvsWithSecrets = useStreamStatic(
@@ -157,7 +159,7 @@ export class EnvironmentInspectorService extends Service implements Inspector {
       if (envsMap.has(env.key)) {
         const existingEnv = envsMap.get(env.key)
 
-        if (existingEnv?.value === "" && env.value !== "") {
+        if (existingEnv?.currentValue === "" && env.currentValue !== "") {
           envsMap.set(env.key, env)
         }
       } else {
@@ -200,8 +202,11 @@ export class EnvironmentInspectorService extends Service implements Inspector {
 
             const environmentVariables =
               this.filterNonEmptyEnvironmentVariables([
+                // Transform the request variables to environment variables
                 ...(currentTabRequest?.requestVariables ?? []).map((env) => ({
-                  ...env,
+                  key: env.key,
+                  currentValue: env.value,
+                  initialValue: env.value,
                   secret: false,
                   sourceEnv: "RequestVariable",
                 })),
@@ -216,8 +221,15 @@ export class EnvironmentInspectorService extends Service implements Inspector {
                 env.key
               )
 
+              const hasCurrentValue = this.currentEnvs.hasValue(
+                env.sourceEnv !== "Global"
+                  ? currentSelectedEnvironment.id
+                  : "Global",
+                env.key
+              )
+
               if (env.key === formattedExEnv) {
-                if (env.secret ? !hasSecretEnv : env.value === "") {
+                if (env.secret ? !hasSecretEnv : !hasCurrentValue) {
                   const itemLocation: InspectorLocation = {
                     type: locations.type,
                     position:
diff --git a/packages/hoppscotch-common/src/services/persistence/__tests__/__mocks__/index.ts b/packages/hoppscotch-common/src/services/persistence/__tests__/__mocks__/index.ts
index 93aa0f8d..6eb4b0a6 100644
--- a/packages/hoppscotch-common/src/services/persistence/__tests__/__mocks__/index.ts
+++ b/packages/hoppscotch-common/src/services/persistence/__tests__/__mocks__/index.ts
@@ -81,22 +81,30 @@ export const GQL_COLLECTIONS_MOCK: HoppCollection[] = [
 
 export const ENVIRONMENTS_MOCK: Environment[] = [
   {
-    v: 1,
+    v: 2,
     id: "ENV_1",
     name: "globals",
     variables: [
       {
         key: "test-global-key",
-        value: "test-global-value",
+        initialValue: "test-global-value",
+        currentValue: "test-global-value",
         secret: false,
       },
     ],
   },
   {
-    v: 1,
+    v: 2,
     id: "ENV_2",
     name: "Test",
-    variables: [{ key: "test-key", value: "test-value", secret: false }],
+    variables: [
+      {
+        key: "test-key",
+        initialValue: "test-value",
+        currentValue: "test-value",
+        secret: false,
+      },
+    ],
   },
 ]
 
@@ -127,8 +135,15 @@ export const MQTT_REQUEST_MOCK = {
 }
 
 export const GLOBAL_ENV_MOCK: GlobalEnvironment = {
-  v: 1,
-  variables: [{ key: "test-key", value: "test-value", secret: false }],
+  v: 2,
+  variables: [
+    {
+      key: "test-key",
+      currentValue: "test-value",
+      initialValue: "test-value",
+      secret: false,
+    },
+  ],
 }
 
 export const VUEX_DATA_MOCK: VUEX_DATA = {
diff --git a/packages/hoppscotch-common/src/services/persistence/index.ts b/packages/hoppscotch-common/src/services/persistence/index.ts
index 79b8e6d5..e854dc45 100644
--- a/packages/hoppscotch-common/src/services/persistence/index.ts
+++ b/packages/hoppscotch-common/src/services/persistence/index.ts
@@ -69,6 +69,7 @@ import { SIORequest$, setSIORequest } from "../../newstore/SocketIOSession"
 import { WSRequest$, setWSRequest } from "../../newstore/WebSocketSession"
 
 import {
+  CURRENT_ENVIRONMENT_VALUE_SCHEMA,
   ENVIRONMENTS_SCHEMA,
   GLOBAL_ENVIRONMENT_SCHEMA,
   GQL_COLLECTION_SCHEMA,
@@ -92,6 +93,10 @@ import {
 import { PersistableTabState } from "../tab"
 import { HoppTabDocument } from "~/helpers/rest/document"
 import { HoppGQLDocument } from "~/helpers/graphql/document"
+import {
+  CurrentValueService,
+  Variable,
+} from "../current-environment-value.service"
 
 export const STORE_NAMESPACE = "persistence.v1"
 
@@ -113,6 +118,7 @@ export const STORE_KEYS = {
   REST_TABS: "restTabs",
   GQL_TABS: "gqlTabs",
   SECRET_ENVIRONMENTS: "secretEnvironments",
+  CURRENT_ENVIRONMENT_VALUE: "currentEnvironmentValue",
   SCHEMA_VERSION: "schema_version",
 } as const
 
@@ -175,6 +181,8 @@ export class PersistenceService extends Service {
   private readonly secretEnvironmentService = this.bind(
     SecretEnvironmentService
   )
+  private readonly currentEnvironmentValueService =
+    this.bind(CurrentValueService)
 
   private showErrorToast(key: string) {
     const toast = useToast()
@@ -600,6 +608,55 @@ export class PersistenceService extends Service {
     )
   }
 
+  private async setupCurrentEnvironmentValuePersistence() {
+    const loadResult = await Store.get<any>(
+      STORE_NAMESPACE,
+      STORE_KEYS.CURRENT_ENVIRONMENT_VALUE
+    )
+
+    try {
+      if (E.isRight(loadResult) && loadResult.right) {
+        const result = CURRENT_ENVIRONMENT_VALUE_SCHEMA.safeParse(
+          loadResult.right
+        )
+
+        if (result.success) {
+          this.currentEnvironmentValueService.loadEnvironmentsFromPersistedState(
+            result.data
+          )
+        } else {
+          this.showErrorToast(STORE_KEYS.CURRENT_ENVIRONMENT_VALUE)
+          await Store.set(
+            STORE_NAMESPACE,
+            `${STORE_KEYS.CURRENT_ENVIRONMENT_VALUE}-backup`,
+            loadResult.right
+          )
+          console.error(
+            `Failed parsing persisted CURRENT_ENVIRONMENT_VALUE:`,
+            JSON.stringify(loadResult.right)
+          )
+        }
+      }
+    } catch (e) {
+      console.error(
+        `Failed parsing persisted CURRENT_ENVIRONMENT_VALUE:`,
+        loadResult
+      )
+    }
+
+    watchDebounced(
+      this.currentEnvironmentValueService.persistableEnvironments,
+      async (newData: Record<string, Variable[]>) => {
+        await Store.set(
+          STORE_NAMESPACE,
+          STORE_KEYS.CURRENT_ENVIRONMENT_VALUE,
+          newData
+        )
+      },
+      { debounce: 500 }
+    )
+  }
+
   private async setupSelectedEnvPersistence() {
     const loadResult = await Store.get<any>(
       STORE_NAMESPACE,
@@ -914,6 +971,7 @@ export class PersistenceService extends Service {
       this.setupGQLTabsPersistence(),
 
       this.setupSecretEnvironmentsPersistence(),
+      this.setupCurrentEnvironmentValuePersistence(),
     ])
   }
 
diff --git a/packages/hoppscotch-common/src/services/persistence/validation-schemas/index.ts b/packages/hoppscotch-common/src/services/persistence/validation-schemas/index.ts
index 8d4aa881..6d34a997 100644
--- a/packages/hoppscotch-common/src/services/persistence/validation-schemas/index.ts
+++ b/packages/hoppscotch-common/src/services/persistence/validation-schemas/index.ts
@@ -228,12 +228,9 @@ export const MQTT_REQUEST_SCHEMA = z.nullable(
 const EnvironmentVariablesSchema = z.union([
   z.object({
     key: z.string(),
-    value: z.string(),
-    secret: z.literal(false).catch(false),
-  }),
-  z.object({
-    key: z.string(),
-    secret: z.literal(true),
+    initialValue: z.string(),
+    currentValue: z.string(),
+    secret: z.boolean(),
   }),
   z.object({
     key: z.string(),
@@ -376,6 +373,24 @@ export const SECRET_ENVIRONMENT_VARIABLE_SCHEMA = z.union([
   ),
 ])
 
+export const CURRENT_ENVIRONMENT_VALUE_SCHEMA = z.union([
+  z.object({}).strict(),
+
+  z.record(
+    z.string(),
+    z.array(
+      z
+        .object({
+          key: z.string(),
+          currentValue: z.string(),
+          varIndex: z.number(),
+          isSecret: z.boolean(),
+        })
+        .strict()
+    )
+  ),
+])
+
 const HoppTestResultSchema = z
   .object({
     tests: z.array(HoppTestDataSchema),
diff --git a/packages/hoppscotch-common/src/services/secret-environment.service.ts b/packages/hoppscotch-common/src/services/secret-environment.service.ts
index 1f68d00c..aae63b16 100644
--- a/packages/hoppscotch-common/src/services/secret-environment.service.ts
+++ b/packages/hoppscotch-common/src/services/secret-environment.service.ts
@@ -57,7 +57,7 @@ export class SecretEnvironmentService extends Service {
    * Used to get the value of a secret environment variable.
    * @param id ID of the environment
    * @param varIndex Index of the variable in the environment
-=   */
+   */
   public getSecretEnvironmentVariableValue(id: string, varIndex: number) {
     const secretVar = this.getSecretEnvironmentVariable(id, varIndex)
     return secretVar?.value
@@ -101,7 +101,7 @@ export class SecretEnvironmentService extends Service {
   }
 
   /**
-   * Used to update thye ID of a secret environment.
+   * Used to update the ID of a secret environment.
    * Used while syncing with the server.
    * @param oldID old ID of the environment
    * @param newID new ID of the environment
diff --git a/packages/hoppscotch-common/src/services/spotlight/searchers/environment.searcher.ts b/packages/hoppscotch-common/src/services/spotlight/searchers/environment.searcher.ts
index 9b1e726d..90cfb997 100644
--- a/packages/hoppscotch-common/src/services/spotlight/searchers/environment.searcher.ts
+++ b/packages/hoppscotch-common/src/services/spotlight/searchers/environment.searcher.ts
@@ -82,6 +82,10 @@ export class EnvironmentsSpotlightSearcherService extends StaticSpotlightSearche
   public readonly searcherID = "environments"
   public searcherSectionTitle = this.t("spotlight.environments.title")
 
+  private readonly workspaceService = this.bind(WorkspaceService)
+
+  private workspace = this.workspaceService.currentWorkspace
+
   private readonly spotlight = this.bind(SpotlightService)
 
   private selectedEnvIndex = useStreamStatic(
@@ -239,10 +243,17 @@ export class EnvironmentsSpotlightSearcherService extends StaticSpotlightSearche
         })
         break
       case "edit_selected_env":
-        if (this.selectedEnv.value)
-          invokeAction(`modals.my.environment.edit`, {
-            envName: this.selectedEnv.value.name,
-          })
+        if (this.selectedEnv.value) {
+          if (this.workspace.value.type === "personal") {
+            invokeAction(`modals.my.environment.edit`, {
+              envName: this.selectedEnv.value.name,
+            })
+          } else {
+            invokeAction(`modals.team.environment.edit`, {
+              envName: this.selectedEnv.value.name,
+            })
+          }
+        }
         break
       case "delete_selected_env":
         invokeAction(`modals.environment.delete-selected`)
diff --git a/packages/hoppscotch-data/src/environment/index.ts b/packages/hoppscotch-data/src/environment/index.ts
index dbd4954c..e2438a29 100644
--- a/packages/hoppscotch-data/src/environment/index.ts
+++ b/packages/hoppscotch-data/src/environment/index.ts
@@ -6,6 +6,7 @@ import { z } from "zod"
 
 import V0_VERSION from "./v/0"
 import V1_VERSION, { uniqueID } from "./v/1"
+import V2_VERSION from "./v/2"
 import { HOPP_SUPPORTED_PREDEFINED_VARIABLES } from "../predefinedVariables"
 
 const versionedObject = z.object({
@@ -13,10 +14,11 @@ const versionedObject = z.object({
 })
 
 export const Environment = createVersionedEntity({
-  latestVersion: 1,
+  latestVersion: 2,
   versionMap: {
     0: V0_VERSION,
     1: V1_VERSION,
+    2: V2_VERSION,
   },
   getVersion(data) {
     const versionCheck = versionedObject.safeParse(data)
@@ -48,7 +50,7 @@ const ENV_MAX_EXPAND_LIMIT = 10
  */
 const ENV_EXPAND_LOOP = "ENV_EXPAND_LOOP" as const
 
-export const EnvironmentSchemaVersion = 1
+export const EnvironmentSchemaVersion = 2
 
 export function parseBodyEnvVariablesE(
   body: string,
@@ -72,8 +74,8 @@ export function parseBodyEnvVariablesE(
 
       const foundEnv = env.find((envVar) => envVar.key === variableName)
 
-      if (foundEnv && "value" in foundEnv) {
-        return foundEnv.value
+      if (foundEnv && "currentValue" in foundEnv) {
+        return foundEnv.currentValue
       }
       return key
     })
@@ -102,7 +104,11 @@ export function parseTemplateStringE(
   str: string,
   variables:
     | Environment["variables"]
-    | { secret: true; value: string; key: string }[],
+    | {
+        secret: true
+        currentValue: string
+        key: string
+      }[],
   maskValue = false,
   showKeyIfSecret = false
 ) {
@@ -131,7 +137,7 @@ export function parseTemplateStringE(
 
       const variable = variables.find((x) => x && x.key === p1)
 
-      if (variable && "value" in variable) {
+      if (variable && "currentValue" in variable) {
         // Show the key if it is a secret and explicitly specified
         if (variable.secret && showKeyIfSecret) {
           isSecret = true
@@ -140,11 +146,17 @@ export function parseTemplateStringE(
         // Mask the value if it is a secret and explicitly specified
         if (variable.secret && maskValue) {
           return "*".repeat(
-            (variable as { secret: true; value: string; key: string }).value
-              .length
+            (
+              variable as {
+                secret: true
+                initialValue: string
+                currentValue: string
+                key: string
+              }
+            ).currentValue.length
           )
         }
-        return variable.value
+        return variable.currentValue
       }
 
       return ""
@@ -173,7 +185,11 @@ export const parseTemplateString = (
   str: string,
   variables:
     | Environment["variables"]
-    | { secret: true; value: string; key: string }[],
+    | {
+        secret: true
+        currentValue: string
+        key: string
+      }[],
   maskValue = false,
   showKeyIfSecret = false
 ) =>
@@ -187,7 +203,8 @@ export const translateToNewEnvironmentVariables = (
 ): Environment["variables"][number] => {
   return {
     key: x.key,
-    value: x.value,
+    initialValue: x.initialValue ?? x.value ?? "",
+    currentValue: x.currentValue ?? x.value ?? "",
     secret: false,
   }
 }
diff --git a/packages/hoppscotch-data/src/environment/v/2.ts b/packages/hoppscotch-data/src/environment/v/2.ts
new file mode 100644
index 00000000..cfab8e0f
--- /dev/null
+++ b/packages/hoppscotch-data/src/environment/v/2.ts
@@ -0,0 +1,40 @@
+import { boolean, z } from "zod"
+import { defineVersion } from "verzod"
+import { V1_SCHEMA } from "./1"
+
+// add initialValue and currentValue to the schema and delete value and add it to initialValue and currentValue
+export const V2_SCHEMA = V1_SCHEMA.extend({
+  v: z.literal(2),
+  variables: z.array(
+    z.object({
+      key: z.string(),
+      initialValue: z.string(),
+      currentValue: z.string(),
+      secret: z.boolean(),
+    })
+  ),
+})
+
+export default defineVersion({
+  initial: false,
+  schema: V2_SCHEMA,
+  up(old: z.infer<typeof V1_SCHEMA>) {
+    const result: z.infer<typeof V2_SCHEMA> = {
+      ...old,
+      v: 2,
+      variables: old.variables.map((variable) => {
+        // if the variable is secret, set initialValue and currentValue to empty string
+        // else set initialValue and currentValue to value
+        // and delete value
+        return {
+          ...variable,
+          initialValue: variable.secret ? "" : variable.value,
+          currentValue: variable.secret ? "" : variable.value,
+          value: undefined,
+        }
+      }),
+    }
+
+    return result
+  },
+})
diff --git a/packages/hoppscotch-data/src/global-environment/index.ts b/packages/hoppscotch-data/src/global-environment/index.ts
index ef101917..3b78a5c7 100644
--- a/packages/hoppscotch-data/src/global-environment/index.ts
+++ b/packages/hoppscotch-data/src/global-environment/index.ts
@@ -4,16 +4,18 @@ import { z } from "zod"
 
 import V0_VERSION from "./v/0"
 import V1_VERSION from "./v/1"
+import V2_VERSION from "./v/2"
 
 const versionedObject = z.object({
   v: z.number(),
 })
 
 export const GlobalEnvironment = createVersionedEntity({
-  latestVersion: 1,
+  latestVersion: 2,
   versionMap: {
     0: V0_VERSION,
     1: V1_VERSION,
+    2: V2_VERSION,
   },
   getVersion(data) {
     const versionCheck = versionedObject.safeParse(data)
diff --git a/packages/hoppscotch-data/src/global-environment/v/2.ts b/packages/hoppscotch-data/src/global-environment/v/2.ts
new file mode 100644
index 00000000..6058ad58
--- /dev/null
+++ b/packages/hoppscotch-data/src/global-environment/v/2.ts
@@ -0,0 +1,39 @@
+import { z } from "zod"
+import { defineVersion } from "verzod"
+import { V1_SCHEMA } from "./1"
+
+export const V2_SCHEMA = V1_SCHEMA.extend({
+  v: z.literal(2),
+  variables: z.array(
+    z.object({
+      key: z.string(),
+      initialValue: z.string(),
+      currentValue: z.string(),
+      secret: z.boolean(),
+    })
+  ),
+})
+
+export default defineVersion({
+  initial: false,
+  schema: V2_SCHEMA,
+  up(old: z.infer<typeof V1_SCHEMA>) {
+    const result: z.infer<typeof V2_SCHEMA> = {
+      ...old,
+      v: 2,
+      variables: old.variables.map((variable) => {
+        // if the variable is secret, set initialValue and currentValue to empty string
+        // else set initialValue and currentValue to value
+        // and delete value
+        return {
+          ...variable,
+          initialValue: variable.secret ? "" : variable.value,
+          currentValue: variable.secret ? "" : variable.value,
+          value: undefined,
+        }
+      }),
+    }
+
+    return result
+  },
+})
diff --git a/packages/hoppscotch-js-sandbox/src/__tests__/base64-helper-functions.spec.ts b/packages/hoppscotch-js-sandbox/src/__tests__/base64-helper-functions.spec.ts
index ff0cf21f..48eb95a4 100644
--- a/packages/hoppscotch-js-sandbox/src/__tests__/base64-helper-functions.spec.ts
+++ b/packages/hoppscotch-js-sandbox/src/__tests__/base64-helper-functions.spec.ts
@@ -11,13 +11,27 @@ describe("Base64 helper functions", () => {
     atob: {
       script: `pw.env.set("atob", atob("SGVsbG8gV29ybGQ="))`,
       environment: {
-        selected: [{ key: "atob", value: "Hello World", secret: false }],
+        selected: [
+          {
+            key: "atob",
+            currentValue: "Hello World",
+            initialValue: "Hello World",
+            secret: false,
+          },
+        ],
       },
     },
     btoa: {
       script: `pw.env.set("btoa", btoa("Hello World"))`,
       environment: {
-        selected: [{ key: "btoa", value: "SGVsbG8gV29ybGQ=", secret: false }],
+        selected: [
+          {
+            key: "btoa",
+            currentValue: "SGVsbG8gV29ybGQ=",
+            initialValue: "SGVsbG8gV29ybGQ=",
+            secret: false,
+          },
+        ],
       },
     },
   }
diff --git a/packages/hoppscotch-js-sandbox/src/__tests__/env/get.spec.ts b/packages/hoppscotch-js-sandbox/src/__tests__/env/get.spec.ts
index ed2f7800..8a79691c 100644
--- a/packages/hoppscotch-js-sandbox/src/__tests__/env/get.spec.ts
+++ b/packages/hoppscotch-js-sandbox/src/__tests__/env/get.spec.ts
@@ -31,7 +31,8 @@ describe("pw.env.get", () => {
           selected: [
             {
               key: "a",
-              value: "b",
+              currentValue: "b",
+              initialValue: "b",
               secret: false,
             },
           ],
@@ -60,7 +61,8 @@ describe("pw.env.get", () => {
           global: [
             {
               key: "a",
-              value: "b",
+              currentValue: "b",
+              initialValue: "b",
               secret: false,
             },
           ],
@@ -114,14 +116,16 @@ describe("pw.env.get", () => {
           global: [
             {
               key: "a",
-              value: "global val",
+              currentValue: "global val",
+              initialValue: "global val",
               secret: false,
             },
           ],
           selected: [
             {
               key: "a",
-              value: "selected val",
+              currentValue: "selected val",
+              initialValue: "selected val",
               secret: false,
             },
           ],
@@ -151,7 +155,8 @@ describe("pw.env.get", () => {
           selected: [
             {
               key: "a",
-              value: "<<hello>>",
+              currentValue: "<<hello>>",
+              initialValue: "<<hello>>",
               secret: false,
             },
           ],
diff --git a/packages/hoppscotch-js-sandbox/src/__tests__/env/getResolve.spec.ts b/packages/hoppscotch-js-sandbox/src/__tests__/env/getResolve.spec.ts
index d1942ec5..00eb3d8d 100644
--- a/packages/hoppscotch-js-sandbox/src/__tests__/env/getResolve.spec.ts
+++ b/packages/hoppscotch-js-sandbox/src/__tests__/env/getResolve.spec.ts
@@ -31,7 +31,8 @@ describe("pw.env.getResolve", () => {
           selected: [
             {
               key: "a",
-              value: "b",
+              currentValue: "b",
+              initialValue: "b",
               secret: false,
             },
           ],
@@ -60,7 +61,8 @@ describe("pw.env.getResolve", () => {
           global: [
             {
               key: "a",
-              value: "b",
+              currentValue: "b",
+              initialValue: "b",
               secret: false,
             },
           ],
@@ -114,14 +116,16 @@ describe("pw.env.getResolve", () => {
           global: [
             {
               key: "a",
-              value: "global val",
+              currentValue: "global val",
+              initialValue: "global val",
               secret: false,
             },
           ],
           selected: [
             {
               key: "a",
-              value: "selected val",
+              currentValue: "selected val",
+              initialValue: "selected val",
               secret: false,
             },
           ],
@@ -151,12 +155,14 @@ describe("pw.env.getResolve", () => {
           selected: [
             {
               key: "a",
-              value: "<<hello>>",
+              currentValue: "<<hello>>",
+              initialValue: "<<hello>>",
               secret: false,
             },
             {
               key: "hello",
-              value: "there",
+              currentValue: "there",
+              initialValue: "there",
               secret: false,
             },
           ],
@@ -186,12 +192,14 @@ describe("pw.env.getResolve", () => {
           selected: [
             {
               key: "a",
-              value: "<<hello>>",
+              currentValue: "<<hello>>",
+              initialValue: "<<hello>>",
               secret: false,
             },
             {
               key: "hello",
-              value: "<<a>>",
+              currentValue: "<<a>>",
+              initialValue: "<<a>>",
               secret: false,
             },
           ],
diff --git a/packages/hoppscotch-js-sandbox/src/__tests__/env/resolve.spec.ts b/packages/hoppscotch-js-sandbox/src/__tests__/env/resolve.spec.ts
index d691a9fd..beb41363 100644
--- a/packages/hoppscotch-js-sandbox/src/__tests__/env/resolve.spec.ts
+++ b/packages/hoppscotch-js-sandbox/src/__tests__/env/resolve.spec.ts
@@ -44,7 +44,8 @@ describe("pw.env.resolve", () => {
           global: [
             {
               key: "hello",
-              value: "there",
+              initialValue: "there",
+              currentValue: "there",
               secret: false,
             },
           ],
@@ -75,7 +76,8 @@ describe("pw.env.resolve", () => {
           selected: [
             {
               key: "hello",
-              value: "there",
+              initialValue: "there",
+              currentValue: "there",
               secret: false,
             },
           ],
@@ -104,14 +106,16 @@ describe("pw.env.resolve", () => {
           global: [
             {
               key: "hello",
-              value: "yo",
+              initialValue: "yo",
+              currentValue: "yo",
               secret: false,
             },
           ],
           selected: [
             {
               key: "hello",
-              value: "there",
+              initialValue: "there",
+              currentValue: "there",
               secret: false,
             },
           ],
@@ -141,12 +145,14 @@ describe("pw.env.resolve", () => {
           selected: [
             {
               key: "hello",
-              value: "<<there>>",
+              currentValue: "<<there>>",
+              initialValue: "<<there>>",
               secret: false,
             },
             {
               key: "there",
-              value: "<<hello>>",
+              currentValue: "<<hello>>",
+              initialValue: "<<hello>>",
               secret: false,
             },
           ],
diff --git a/packages/hoppscotch-js-sandbox/src/__tests__/env/set.spec.ts b/packages/hoppscotch-js-sandbox/src/__tests__/env/set.spec.ts
index 4b35aa02..84a2da32 100644
--- a/packages/hoppscotch-js-sandbox/src/__tests__/env/set.spec.ts
+++ b/packages/hoppscotch-js-sandbox/src/__tests__/env/set.spec.ts
@@ -36,7 +36,8 @@ describe("pw.env.set", () => {
           selected: [
             {
               key: "a",
-              value: "b",
+              currentValue: "b",
+              initialValue: "b",
               secret: false,
             },
           ],
@@ -47,7 +48,8 @@ describe("pw.env.set", () => {
         selected: [
           {
             key: "a",
-            value: "c",
+            currentValue: "c",
+            initialValue: "b",
             secret: false,
           },
         ],
@@ -65,7 +67,8 @@ describe("pw.env.set", () => {
           global: [
             {
               key: "a",
-              value: "b",
+              currentValue: "b",
+              initialValue: "b",
               secret: false,
             },
           ],
@@ -77,7 +80,8 @@ describe("pw.env.set", () => {
         global: [
           {
             key: "a",
-            value: "c",
+            currentValue: "c",
+            initialValue: "b",
             secret: false,
           },
         ],
@@ -95,14 +99,16 @@ describe("pw.env.set", () => {
           global: [
             {
               key: "a",
-              value: "b",
+              currentValue: "b",
+              initialValue: "b",
               secret: false,
             },
           ],
           selected: [
             {
               key: "a",
-              value: "d",
+              currentValue: "d",
+              initialValue: "d",
               secret: false,
             },
           ],
@@ -113,14 +119,16 @@ describe("pw.env.set", () => {
         global: [
           {
             key: "a",
-            value: "b",
+            currentValue: "b",
+            initialValue: "b",
             secret: false,
           },
         ],
         selected: [
           {
             key: "a",
-            value: "c",
+            currentValue: "c",
+            initialValue: "d",
             secret: false,
           },
         ],
@@ -145,7 +153,8 @@ describe("pw.env.set", () => {
         selected: [
           {
             key: "a",
-            value: "c",
+            currentValue: "c",
+            initialValue: "c",
             secret: false,
           },
         ],
diff --git a/packages/hoppscotch-js-sandbox/src/__tests__/env/unset.spec.ts b/packages/hoppscotch-js-sandbox/src/__tests__/env/unset.spec.ts
index be165d87..f2701950 100644
--- a/packages/hoppscotch-js-sandbox/src/__tests__/env/unset.spec.ts
+++ b/packages/hoppscotch-js-sandbox/src/__tests__/env/unset.spec.ts
@@ -36,7 +36,8 @@ describe("pw.env.unset", () => {
           selected: [
             {
               key: "baseUrl",
-              value: "https://echo.hoppscotch.io",
+              currentValue: "https://echo.hoppscotch.io",
+              initialValue: "https://echo.hoppscotch.io",
               secret: false,
             },
           ],
@@ -59,7 +60,8 @@ describe("pw.env.unset", () => {
           global: [
             {
               key: "baseUrl",
-              value: "https://echo.hoppscotch.io",
+              currentValue: "https://echo.hoppscotch.io",
+              initialValue: "https://echo.hoppscotch.io",
               secret: false,
             },
           ],
@@ -83,14 +85,16 @@ describe("pw.env.unset", () => {
           global: [
             {
               key: "baseUrl",
-              value: "https://httpbin.org",
+              currentValue: "https://httpbin.org",
+              initialValue: "https://httpbin.org",
               secret: false,
             },
           ],
           selected: [
             {
               key: "baseUrl",
-              value: "https://echo.hoppscotch.io",
+              currentValue: "https://echo.hoppscotch.io",
+              initialValue: "https://echo.hoppscotch.io",
               secret: false,
             },
           ],
@@ -101,7 +105,8 @@ describe("pw.env.unset", () => {
         global: [
           {
             key: "baseUrl",
-            value: "https://httpbin.org",
+            currentValue: "https://httpbin.org",
+            initialValue: "https://httpbin.org",
             secret: false,
           },
         ],
@@ -120,19 +125,22 @@ describe("pw.env.unset", () => {
           global: [
             {
               key: "baseUrl",
-              value: "https://echo.hoppscotch.io",
+              currentValue: "https://echo.hoppscotch.io",
+              initialValue: "https://echo.hoppscotch.io",
               secret: false,
             },
           ],
           selected: [
             {
               key: "baseUrl",
-              value: "https://httpbin.org",
+              currentValue: "https://httpbin.org",
+              initialValue: "https://httpbin.org",
               secret: false,
             },
             {
               key: "baseUrl",
-              value: "https://echo.hoppscotch.io",
+              currentValue: "https://echo.hoppscotch.io",
+              initialValue: "https://echo.hoppscotch.io",
               secret: false,
             },
           ],
@@ -143,14 +151,16 @@ describe("pw.env.unset", () => {
         global: [
           {
             key: "baseUrl",
-            value: "https://echo.hoppscotch.io",
+            currentValue: "https://echo.hoppscotch.io",
+            initialValue: "https://echo.hoppscotch.io",
             secret: false,
           },
         ],
         selected: [
           {
             key: "baseUrl",
-            value: "https://echo.hoppscotch.io",
+            currentValue: "https://echo.hoppscotch.io",
+            initialValue: "https://echo.hoppscotch.io",
             secret: false,
           },
         ],
@@ -168,12 +178,14 @@ describe("pw.env.unset", () => {
           global: [
             {
               key: "baseUrl",
-              value: "https://httpbin.org/",
+              currentValue: "https://httpbin.org",
+              initialValue: "https://httpbin.org",
               secret: false,
             },
             {
               key: "baseUrl",
-              value: "https://echo.hoppscotch.io",
+              currentValue: "https://echo.hoppscotch.io",
+              initialValue: "https://echo.hoppscotch.io",
               secret: false,
             },
           ],
@@ -185,7 +197,8 @@ describe("pw.env.unset", () => {
         global: [
           {
             key: "baseUrl",
-            value: "https://echo.hoppscotch.io",
+            currentValue: "https://echo.hoppscotch.io",
+            initialValue: "https://echo.hoppscotch.io",
             secret: false,
           },
         ],
@@ -239,7 +252,8 @@ describe("pw.env.unset", () => {
           selected: [
             {
               key: "baseUrl",
-              value: "https://echo.hoppscotch.io",
+              currentValue: "https://echo.hoppscotch.io",
+              initialValue: "https://echo.hoppscotch.io",
               secret: false,
             },
           ],
diff --git a/packages/hoppscotch-js-sandbox/src/__tests__/pre-request.spec.ts b/packages/hoppscotch-js-sandbox/src/__tests__/pre-request.spec.ts
index c94a440b..cf2a93bc 100644
--- a/packages/hoppscotch-js-sandbox/src/__tests__/pre-request.spec.ts
+++ b/packages/hoppscotch-js-sandbox/src/__tests__/pre-request.spec.ts
@@ -12,16 +12,36 @@ describe("runPreRequestScript", () => {
         {
           global: [],
           selected: [
-            { key: "bob", value: "oldbob", secret: false },
-            { key: "foo", value: "bar", secret: false },
+            {
+              key: "bob",
+              currentValue: "oldbob",
+              initialValue: "oldbob",
+              secret: false,
+            },
+            {
+              key: "foo",
+              currentValue: "bar",
+              initialValue: "bar",
+              secret: false,
+            },
           ],
         }
       )()
     ).resolves.toEqualRight({
       global: [],
       selected: [
-        { key: "bob", value: "newbob", secret: false },
-        { key: "foo", value: "bar", secret: false },
+        {
+          key: "bob",
+          currentValue: "newbob",
+          initialValue: "oldbob",
+          secret: false,
+        },
+        {
+          key: "foo",
+          currentValue: "bar",
+          initialValue: "bar",
+          secret: false,
+        },
       ],
     })
   })
@@ -35,8 +55,18 @@ describe("runPreRequestScript", () => {
         {
           global: [],
           selected: [
-            { key: "bob", value: "oldbob", secret: false },
-            { key: "foo", value: "bar", secret: false },
+            {
+              key: "bob",
+              currentValue: "oldbob",
+              initialValue: "oldbob",
+              secret: false,
+            },
+            {
+              key: "foo",
+              currentValue: "bar",
+              initialValue: "bar",
+              secret: false,
+            },
           ],
         }
       )()
@@ -52,8 +82,18 @@ describe("runPreRequestScript", () => {
         {
           global: [],
           selected: [
-            { key: "bob", value: "oldbob", secret: false },
-            { key: "foo", value: "bar", secret: false },
+            {
+              key: "bob",
+              currentValue: "oldbob",
+              initialValue: "oldbob",
+              secret: false,
+            },
+            {
+              key: "foo",
+              currentValue: "bar",
+              initialValue: "bar",
+              secret: false,
+            },
           ],
         }
       )()
@@ -69,8 +109,18 @@ describe("runPreRequestScript", () => {
         {
           global: [],
           selected: [
-            { key: "bob", value: "oldbob", secret: false },
-            { key: "foo", value: "bar", secret: false },
+            {
+              key: "bob",
+              currentValue: "oldbob",
+              initialValue: "oldbob",
+              secret: false,
+            },
+            {
+              key: "foo",
+              currentValue: "bar",
+              initialValue: "bar",
+              secret: false,
+            },
           ],
         }
       )()
@@ -87,7 +137,9 @@ describe("runPreRequestScript", () => {
       )()
     ).resolves.toEqualRight({
       global: [],
-      selected: [{ key: "foo", value: "bar", secret: false }],
+      selected: [
+        { key: "foo", currentValue: "bar", initialValue: "bar", secret: false },
+      ],
     })
   })
 })
diff --git a/packages/hoppscotch-js-sandbox/src/shared-utils.ts b/packages/hoppscotch-js-sandbox/src/shared-utils.ts
index 44d30913..da2ade09 100644
--- a/packages/hoppscotch-js-sandbox/src/shared-utils.ts
+++ b/packages/hoppscotch-js-sandbox/src/shared-utils.ts
@@ -39,16 +39,18 @@ const setEnv = (
 
   if (indexInSelected >= 0) {
     const selectedEnv = selected[indexInSelected]
-    if ("value" in selectedEnv) {
-      selectedEnv.value = envValue
+    if ("currentValue" in selectedEnv) {
+      selectedEnv.currentValue = envValue
     }
   } else if (indexInGlobal >= 0) {
-    if ("value" in global[indexInGlobal])
-      (global[indexInGlobal] as { value: string }).value = envValue
+    if ("currentValue" in global[indexInGlobal])
+      (global[indexInGlobal] as { currentValue: string }).currentValue =
+        envValue
   } else {
     selected.push({
       key: envName,
-      value: envValue,
+      currentValue: envValue,
+      initialValue: envValue,
       secret: false,
     })
   }
@@ -93,7 +95,7 @@ const getSharedMethods = (envs: TestResult["envs"]) => {
       getEnv(key, updatedEnvs),
       O.fold(
         () => undefined,
-        (env) => String(env.value)
+        (env) => String(env.currentValue)
       )
     )
 
@@ -111,11 +113,11 @@ const getSharedMethods = (envs: TestResult["envs"]) => {
 
       E.map((e) =>
         pipe(
-          parseTemplateStringE(e.value, [
+          parseTemplateStringE(e.currentValue, [
             ...updatedEnvs.selected,
             ...updatedEnvs.global,
           ]), // If the recursive resolution failed, return the unresolved value
-          E.getOrElse(() => e.value)
+          E.getOrElse(() => e.currentValue)
         )
       ),
       E.map((x) => String(x)),
diff --git a/packages/hoppscotch-js-sandbox/src/types/index.ts b/packages/hoppscotch-js-sandbox/src/types/index.ts
index 71d89d54..24c0db3a 100644
--- a/packages/hoppscotch-js-sandbox/src/types/index.ts
+++ b/packages/hoppscotch-js-sandbox/src/types/index.ts
@@ -44,7 +44,8 @@ export type TestDescriptor = {
 // Representation of a transformed state for environment variables in the sandbox
 type TransformedEnvironmentVariable = {
   key: string
-  value: string
+  currentValue: string
+  initialValue: string
   secret: boolean
 }
 
diff --git a/packages/hoppscotch-selfhost-web/src/platform/environments/desktop/index.ts b/packages/hoppscotch-selfhost-web/src/platform/environments/desktop/index.ts
index ccbe5093..a8e5b878 100644
--- a/packages/hoppscotch-selfhost-web/src/platform/environments/desktop/index.ts
+++ b/packages/hoppscotch-selfhost-web/src/platform/environments/desktop/index.ts
@@ -84,7 +84,7 @@ async function loadUserEnvironments() {
       runDispatchWithOutSyncing(() => {
         replaceEnvironments(
           environments.map(({ id, variables, name }) => ({
-            v: 1,
+            v: 2,
             id,
             name,
             variables: JSON.parse(variables),
@@ -176,7 +176,7 @@ function setupUserEnvironmentUpdatedSubscription() {
         if ((localIndex || localIndex == 0) && name) {
           runDispatchWithOutSyncing(() => {
             updateEnvironment(localIndex, {
-              v: 1,
+              v: 2,
               id,
               name,
               variables: JSON.parse(variables),
diff --git a/packages/hoppscotch-selfhost-web/src/platform/environments/desktop/sync.ts b/packages/hoppscotch-selfhost-web/src/platform/environments/desktop/sync.ts
index b122daa3..8b902357 100644
--- a/packages/hoppscotch-selfhost-web/src/platform/environments/desktop/sync.ts
+++ b/packages/hoppscotch-selfhost-web/src/platform/environments/desktop/sync.ts
@@ -110,7 +110,7 @@ export const storeSyncDefinition: StoreSyncDefinitionOf<
         name: "",
         variables: entries,
         id: "",
-        v: 1,
+        v: 2,
       })()
     }
   },
diff --git a/packages/hoppscotch-selfhost-web/src/platform/environments/web/index.ts b/packages/hoppscotch-selfhost-web/src/platform/environments/web/index.ts
index b3ab11f2..9f381e62 100644
--- a/packages/hoppscotch-selfhost-web/src/platform/environments/web/index.ts
+++ b/packages/hoppscotch-selfhost-web/src/platform/environments/web/index.ts
@@ -84,7 +84,7 @@ async function loadUserEnvironments() {
       runDispatchWithOutSyncing(() => {
         replaceEnvironments(
           environments.map(({ id, variables, name }) => ({
-            v: 1,
+            v: 2,
             id,
             name,
             variables: JSON.parse(variables),
@@ -176,7 +176,7 @@ function setupUserEnvironmentUpdatedSubscription() {
         if ((localIndex || localIndex == 0) && name) {
           runDispatchWithOutSyncing(() => {
             updateEnvironment(localIndex, {
-              v: 1,
+              v: 2,
               id,
               name,
               variables: JSON.parse(variables),
diff --git a/packages/hoppscotch-selfhost-web/src/platform/environments/web/sync.ts b/packages/hoppscotch-selfhost-web/src/platform/environments/web/sync.ts
index b122daa3..8b902357 100644
--- a/packages/hoppscotch-selfhost-web/src/platform/environments/web/sync.ts
+++ b/packages/hoppscotch-selfhost-web/src/platform/environments/web/sync.ts
@@ -110,7 +110,7 @@ export const storeSyncDefinition: StoreSyncDefinitionOf<
         name: "",
         variables: entries,
         id: "",
-        v: 1,
+        v: 2,
       })()
     }
   },