diff --git a/src/components/Badge/index.stories.tsx b/src/components/Badge/index.stories.tsx
index 33cc6812..de23c939 100644
--- a/src/components/Badge/index.stories.tsx
+++ b/src/components/Badge/index.stories.tsx
@@ -220,3 +220,44 @@ export const AllVariants: Story = {
     </div>
   ),
 }
+
+export const AllSizes: Story = {
+  render: () => (
+    <div className="flex items-center gap-4">
+      <Badge size="sm">
+        <Badge.Text>Small</Badge.Text>
+      </Badge>
+      <Badge size="md">
+        <Badge.Text>Medium</Badge.Text>
+      </Badge>
+      <Badge size="lg">
+        <Badge.Text>Large</Badge.Text>
+      </Badge>
+    </div>
+  ),
+}
+
+export const AllSizesWithIcon: Story = {
+  render: () => (
+    <div className="flex items-center gap-4">
+      <Badge size="sm">
+        <Badge.LeftIcon>
+          <GitPullRequest />
+        </Badge.LeftIcon>
+        <Badge.Text>Small</Badge.Text>
+      </Badge>
+      <Badge size="md">
+        <Badge.LeftIcon>
+          <GitPullRequest />
+        </Badge.LeftIcon>
+        <Badge.Text>Medium</Badge.Text>
+      </Badge>
+      <Badge size="lg">
+        <Badge.LeftIcon>
+          <GitPullRequest />
+        </Badge.LeftIcon>
+        <Badge.Text>Large</Badge.Text>
+      </Badge>
+    </div>
+  ),
+}
diff --git a/src/components/Badge/index.test.tsx b/src/components/Badge/index.test.tsx
index 408098ac..f0e5a153 100644
--- a/src/components/Badge/index.test.tsx
+++ b/src/components/Badge/index.test.tsx
@@ -8,4 +8,39 @@ describe('Badge', () => {
     render(<Badge>Default</Badge>)
     expect(screen.getByText('Default')).toBeInTheDocument()
   })
+
+  describe('size prop', () => {
+    it('defaults to md size classes', () => {
+      const { container } = render(<Badge>Default</Badge>)
+      const badge = container.firstChild as HTMLElement
+      expect(badge).toHaveClass('h-5')
+      expect(badge).toHaveClass('text-xs')
+    })
+
+    it('applies sm size classes', () => {
+      const { container } = render(<Badge size="sm">Small</Badge>)
+      const badge = container.firstChild as HTMLElement
+      expect(badge).toHaveClass('h-4')
+      expect(badge).toHaveClass('text-2xs')
+    })
+
+    it('applies lg size classes', () => {
+      const { container } = render(<Badge size="lg">Large</Badge>)
+      const badge = container.firstChild as HTMLElement
+      expect(badge).toHaveClass('h-6')
+      expect(badge).toHaveClass('text-base')
+    })
+
+    it('sm does not have md size classes', () => {
+      const { container } = render(<Badge size="sm">Small</Badge>)
+      const badge = container.firstChild as HTMLElement
+      expect(badge).not.toHaveClass('h-5')
+    })
+
+    it('lg does not have md size classes', () => {
+      const { container } = render(<Badge size="lg">Large</Badge>)
+      const badge = container.firstChild as HTMLElement
+      expect(badge).not.toHaveClass('h-5')
+    })
+  })
 })
diff --git a/src/components/Badge/index.tsx b/src/components/Badge/index.tsx
index 4d481e3b..8abf029b 100644
--- a/src/components/Badge/index.tsx
+++ b/src/components/Badge/index.tsx
@@ -3,7 +3,7 @@ import { Slot } from '@radix-ui/react-slot'
 import { cva } from 'class-variance-authority'
 
 import { cn } from '@/lib/utils'
-import { BadgeVariant } from '@/types'
+import { BadgeVariant, BadgeSize } from '@/types'
 
 const BadgeLeftIcon = React.forwardRef<
   HTMLSpanElement,
@@ -41,12 +41,16 @@ const BadgeText = React.forwardRef<
   HTMLSpanElement,
   React.HTMLAttributes<HTMLSpanElement>
 >(({ className, ...props }, ref) => (
-  <span ref={ref} className={cn('flex-1', className)} {...props} />
+  <span
+    ref={ref}
+    className={cn('text-trim-cap flex-1', className)}
+    {...props}
+  />
 ))
 BadgeText.displayName = 'BadgeText'
 
 const badgeVariants = cva(
-  'inline-flex items-center justify-center whitespace-nowrap select-none font-mono uppercase tracking-[0.03em] rounded-xs border transition-colors h-5 px-1 py-1 text-[12px] leading-[12px] gap-1 [&_svg]:size-3',
+  'inline-flex items-center justify-center whitespace-nowrap select-none font-mono uppercase tracking-[0.03em] rounded-xs border transition-colors',
   {
     variants: {
       variant: {
@@ -56,6 +60,11 @@ const badgeVariants = cva(
         success: 'text-default-success border-success-softest',
         warning: 'text-default-warning border-warning-softest',
       },
+      size: {
+        sm: 'h-4 px-0.75 py-0.75 text-2xs leading-none gap-0.75 [&_svg]:size-2.25',
+        md: 'h-5 px-1 py-1 text-xs leading-none gap-1 [&_svg]:size-3',
+        lg: 'h-6 px-1 py-1 text-base leading-none gap-1 [&_svg]:size-4',
+      },
       background: {
         true: '',
         false: 'bg-transparent',
@@ -91,6 +100,7 @@ const badgeVariants = cva(
     defaultVariants: {
       variant: 'neutral',
       background: true,
+      size: 'md',
     },
   }
 )
@@ -100,6 +110,7 @@ type Attributes = Omit<React.HTMLAttributes<HTMLSpanElement>, 'style'>
 export interface BadgeProps extends Attributes {
   asChild?: boolean
   variant?: BadgeVariant
+  size?: BadgeSize
   background?: boolean
   className?: string
   'aria-label'?: string
@@ -109,6 +120,7 @@ const Badge = React.forwardRef<HTMLSpanElement, BadgeProps>(
   (
     {
       variant = 'neutral',
+      size = 'md',
       background = true,
       asChild = false,
       className,
@@ -200,7 +212,7 @@ const Badge = React.forwardRef<HTMLSpanElement, BadgeProps>(
 
     return (
       <Comp
-        className={cn(badgeVariants({ variant, background }), className)}
+        className={cn(badgeVariants({ variant, size, background }), className)}
         ref={ref}
         {...props}
       >
diff --git a/src/global.css b/src/global.css
index fcc49c30..35973d60 100644
--- a/src/global.css
+++ b/src/global.css
@@ -1,6 +1,6 @@
 /*
  * Global CSS - Main Entry Point
- * 
+ *
  * This file orchestrates the design system by:
  * 1. Importing Tailwind and plugins
  * 2. Defining custom variants
@@ -63,5 +63,7 @@
   --font-mono: var(--font-diatype-mono);
   --font-display: var(--font-tobias);
   --font-ascii: var(--font-speakeasy), var(--font-diatype-mono), monospace;
-}
 
+  /* Extended text scale */
+  --text-2xs: 0.5625rem; /* 9px */
+}
diff --git a/src/types.ts b/src/types.ts
index 6a122d8e..ac84e6a3 100644
--- a/src/types.ts
+++ b/src/types.ts
@@ -29,6 +29,10 @@ export const badgeVariants = [
 ] as const
 export type BadgeVariant = (typeof badgeVariants)[number]
 
+// Badge sizes
+export const badgeSizes = ['sm', 'md', 'lg'] as const
+export type BadgeSize = (typeof badgeSizes)[number]
+
 // Generic
 export type Orientation = 'horizontal' | 'vertical'