diff --git a/CHANGELOG.md b/CHANGELOG.md
index e60665a..90ce075 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -7,6 +7,18 @@ All notable changes to this project will be documented in this file.
 
 The format is based on [Keep a Changelog](https://keepachangelog.com/en/1.1.0/), and this project adheres to [Semantic Versioning](https://semver.org/spec/v2.0.0.html).
 
+## [1.2.0] - 2024-05-03
+
+### Changed
+
+- Merge changes from
+  [`golioth/reference-design-template@template_v2.2.1`](https://github.com/golioth/reference-design-template/releases/tag/template_v2.2.1).
+  This targets Golioth Firmware SDK v0.13.1.
+- The count of the sensor reads (both up and down) which are recorded using LightDB State will now
+  wrap around when reaching max/min value.
+- LightDB State observations are received as JSON replies from the server instead of CBOR.
+- Turn off unused shells (ADXL372, FLASH, SENSOR) to reduce binary size.
+
 ## [1.1.0] - 2024-01-12
 
 ### Added
diff --git a/prj.conf b/prj.conf
index 6205434..4f9c781 100644
--- a/prj.conf
+++ b/prj.conf
@@ -72,7 +72,7 @@ CONFIG_PWM=y
 CONFIG_PWM_LOG_LEVEL_DBG=n
 
 # Firmware version used in DFU process
-CONFIG_MCUBOOT_IMGTOOL_SIGN_VERSION="1.1.0"
+CONFIG_MCUBOOT_IMGTOOL_SIGN_VERSION="1.2.0"
 
 # Disable unused libraries to save flash
 CONFIG_ADXL372=n