diff --git a/Dockerfile b/Dockerfile
index 409f82858..6ed9af064 100644
--- a/Dockerfile
+++ b/Dockerfile
@@ -12,7 +12,7 @@
 #   See the License for the specific language governing permissions and
 #   limitations under the License.
 
-ARG CONTAINERD_VERSION=v1.7.0-beta.3
+ARG CONTAINERD_VERSION=v1.7.0-rc.0
 ARG RUNC_VERSION=v1.1.4
 ARG CNI_PLUGINS_VERSION=v1.1.1
 ARG NERDCTL_VERSION=1.1.0
diff --git a/cmd/ctr-remote/commands/rpull.go b/cmd/ctr-remote/commands/rpull.go
index 09e69f0a2..e37f99984 100644
--- a/cmd/ctr-remote/commands/rpull.go
+++ b/cmd/ctr-remote/commands/rpull.go
@@ -25,6 +25,7 @@ import (
 	"github.com/containerd/containerd/cmd/ctr/commands/content"
 	"github.com/containerd/containerd/images"
 	"github.com/containerd/containerd/log"
+	ctdsnapshotters "github.com/containerd/containerd/pkg/snapshotters"
 	"github.com/containerd/containerd/snapshots"
 	fsconfig "github.com/containerd/stargz-snapshotter/fs/config"
 	"github.com/containerd/stargz-snapshotter/fs/source"
@@ -57,6 +58,10 @@ command.
 			Name:  "ipfs",
 			Usage: "Pull image from IPFS. Specify an IPFS CID as a reference. (experimental)",
 		},
+		cli.BoolFlag{
+			Name:  "use-containerd-labels",
+			Usage: "Use labels defined in containerd project",
+		},
 	), commands.SnapshotterFlags...),
 	Action: func(context *cli.Context) error {
 		var (
@@ -84,6 +89,7 @@ command.
 			return err
 		}
 		config.FetchConfig = fc
+		config.containerdLabels = context.Bool("use-containerd-labels")
 
 		if context.Bool(skipContentVerifyOpt) {
 			config.skipVerify = true
@@ -111,6 +117,7 @@ type rPullConfig struct {
 	*content.FetchConfig
 	skipVerify  bool
 	snapshotter string
+	containerdLabels bool
 }
 
 func pull(ctx context.Context, client *containerd.Client, ref string, config *rPullConfig) error {
@@ -130,6 +137,14 @@ func pull(ctx context.Context, client *containerd.Client, ref string, config *rP
 		}))
 	}
 
+	var labelHandler func(h images.Handler) images.Handler
+	prefetchSize := int64(10*1024*1024)
+	if config.containerdLabels {
+		labelHandler = source.AppendExtraLabelsHandler(prefetchSize, ctdsnapshotters.AppendInfoHandlerWrapper(ref))
+	} else {
+		labelHandler = source.AppendDefaultLabelsHandlerWrapper(ref, prefetchSize)
+	}
+
 	log.G(pCtx).WithField("image", ref).Debug("fetching")
 	labels := commands.LabelArgs(config.Labels)
 	if _, err := client.Pull(pCtx, ref, []containerd.RemoteOpt{
@@ -139,7 +154,7 @@ func pull(ctx context.Context, client *containerd.Client, ref string, config *rP
 		containerd.WithSchema1Conversion,
 		containerd.WithPullUnpack,
 		containerd.WithPullSnapshotter(config.snapshotter, snOpts...),
-		containerd.WithImageHandlerWrapper(source.AppendDefaultLabelsHandlerWrapper(ref, 10*1024*1024)),
+		containerd.WithImageHandlerWrapper(labelHandler),
 	}...); err != nil {
 		return err
 	}
diff --git a/cmd/go.mod b/cmd/go.mod
index d040fba54..783067779 100644
--- a/cmd/go.mod
+++ b/cmd/go.mod
@@ -3,7 +3,7 @@ module github.com/containerd/stargz-snapshotter/cmd
 go 1.19
 
 require (
-	github.com/containerd/containerd v1.7.0-beta.3
+	github.com/containerd/containerd v1.7.0-rc.0
 	github.com/containerd/go-cni v1.1.9
 	github.com/containerd/stargz-snapshotter v0.14.1
 	github.com/containerd/stargz-snapshotter/estargz v0.14.1
@@ -31,20 +31,20 @@ require (
 	github.com/AdaLogics/go-fuzz-headers v0.0.0-20230106234847-43070de90fa1 // indirect
 	github.com/AdamKorcz/go-118-fuzz-build v0.0.0-20221215162035-5330a85ea652 // indirect
 	github.com/Microsoft/go-winio v0.6.0 // indirect
-	github.com/Microsoft/hcsshim v0.10.0-rc.4 // indirect
+	github.com/Microsoft/hcsshim v0.10.0-rc.5 // indirect
 	github.com/beorn7/perks v1.0.1 // indirect
 	github.com/cespare/xxhash/v2 v2.2.0 // indirect
 	github.com/cilium/ebpf v0.9.1 // indirect
-	github.com/containerd/cgroups v1.0.5-0.20220816231112-7083cd60b721 // indirect
-	github.com/containerd/cgroups/v3 v3.0.0-20221112182753-e8802a182774 // indirect
+	github.com/containerd/cgroups v1.1.0 // indirect
+	github.com/containerd/cgroups/v3 v3.0.0 // indirect
 	github.com/containerd/console v1.0.3 // indirect
 	github.com/containerd/continuity v0.3.0 // indirect
 	github.com/containerd/fifo v1.0.0 // indirect
 	github.com/containerd/go-runc v1.0.0 // indirect
-	github.com/containerd/ttrpc v1.1.1-0.20220420014843-944ef4a40df3 // indirect
-	github.com/containerd/typeurl v1.0.3-0.20220422153119-7f6e6d160d67 // indirect
+	github.com/containerd/ttrpc v1.1.1-0.20230127163717-32fab2374638 // indirect
+	github.com/containerd/typeurl/v2 v2.1.0 // indirect
 	github.com/containernetworking/cni v1.1.2 // indirect
-	github.com/containernetworking/plugins v1.1.1 // indirect
+	github.com/containernetworking/plugins v1.2.0 // indirect
 	github.com/cpuguy83/go-md2man/v2 v2.0.2 // indirect
 	github.com/cyphar/filepath-securejoin v0.2.3 // indirect
 	github.com/davecgh/go-spew v1.1.1 // indirect
@@ -59,7 +59,7 @@ require (
 	github.com/go-openapi/jsonpointer v0.19.5 // indirect
 	github.com/go-openapi/jsonreference v0.20.0 // indirect
 	github.com/go-openapi/swag v0.19.14 // indirect
-	github.com/godbus/dbus/v5 v5.0.6 // indirect
+	github.com/godbus/dbus/v5 v5.1.0 // indirect
 	github.com/gogo/protobuf v1.3.2 // indirect
 	github.com/golang/groupcache v0.0.0-20210331224755-41bb18bfe9da // indirect
 	github.com/golang/protobuf v1.5.2 // indirect
@@ -109,18 +109,18 @@ require (
 	github.com/spf13/pflag v1.0.5 // indirect
 	github.com/vbatts/tar-split v0.11.2 // indirect
 	go.opencensus.io v0.24.0 // indirect
-	go.opentelemetry.io/otel v1.11.1 // indirect
-	go.opentelemetry.io/otel/trace v1.11.1 // indirect
+	go.opentelemetry.io/otel v1.12.0 // indirect
+	go.opentelemetry.io/otel/trace v1.12.0 // indirect
 	golang.org/x/crypto v0.1.0 // indirect
-	golang.org/x/mod v0.6.0 // indirect
+	golang.org/x/mod v0.7.0 // indirect
 	golang.org/x/net v0.7.0 // indirect
 	golang.org/x/oauth2 v0.4.0 // indirect
 	golang.org/x/term v0.5.0 // indirect
 	golang.org/x/text v0.7.0 // indirect
 	golang.org/x/time v0.0.0-20220210224613-90d013bbcef8 // indirect
-	golang.org/x/tools v0.2.0 // indirect
+	golang.org/x/tools v0.5.0 // indirect
 	google.golang.org/appengine v1.6.7 // indirect
-	google.golang.org/genproto v0.0.0-20230110181048-76db0878b65f // indirect
+	google.golang.org/genproto v0.0.0-20230131230820-1c016267d619 // indirect
 	google.golang.org/protobuf v1.28.1 // indirect
 	gopkg.in/inf.v0 v0.9.1 // indirect
 	gopkg.in/yaml.v2 v2.4.0 // indirect
diff --git a/cmd/go.sum b/cmd/go.sum
index eae3ed3ae..ac6841962 100644
--- a/cmd/go.sum
+++ b/cmd/go.sum
@@ -40,8 +40,8 @@ github.com/BurntSushi/toml v1.2.1/go.mod h1:CxXYINrC8qIiEnFrOxCa7Jy5BFHlXnUU2pbi
 github.com/BurntSushi/xgb v0.0.0-20160522181843-27f122750802/go.mod h1:IVnqGOEym/WlBOVXweHU+Q+/VP0lqqI8lqeDx9IjBqo=
 github.com/Microsoft/go-winio v0.6.0 h1:slsWYD/zyx7lCXoZVlvQrj0hPTM1HI4+v1sIda2yDvg=
 github.com/Microsoft/go-winio v0.6.0/go.mod h1:cTAf44im0RAYeL23bpB+fzCyDH2MJiz2BO69KH/soAE=
-github.com/Microsoft/hcsshim v0.10.0-rc.4 h1:r/hSRKXFIdLYzZDbdieRxSY8T83Y0wBKNHZDKntNMSA=
-github.com/Microsoft/hcsshim v0.10.0-rc.4/go.mod h1:hsiMVxtFCazmXlTXTUZYPPUx/InoWw6U+HWuRndR1rw=
+github.com/Microsoft/hcsshim v0.10.0-rc.5 h1:JfkknPHBtfdC2Ezd+jpl8Kicw7UyhvUSzoy6xsqirwY=
+github.com/Microsoft/hcsshim v0.10.0-rc.5/go.mod h1:NNb9uh/cgA52AVhc9+Y7U+YyHQS9nHHA4STcAjdg2xk=
 github.com/alecthomas/template v0.0.0-20160405071501-a0175ee3bccc/go.mod h1:LOuyumcjzFXgccqObfd/Ljyb9UuFJ6TxHnclSeseNhc=
 github.com/alecthomas/template v0.0.0-20190718012654-fb15b899a751/go.mod h1:LOuyumcjzFXgccqObfd/Ljyb9UuFJ6TxHnclSeseNhc=
 github.com/alecthomas/units v0.0.0-20151022065526-2efee857e7cf/go.mod h1:ybxpYRFXyAe+OPACYpWeL0wqObRcbAqCMya13uyzqw0=
@@ -65,15 +65,15 @@ github.com/cilium/ebpf v0.9.1 h1:64sn2K3UKw8NbP/blsixRpF3nXuyhz/VjRlRzvlBRu4=
 github.com/cilium/ebpf v0.9.1/go.mod h1:+OhNOIXx/Fnu1IE8bJz2dzOA+VSfyTfdNUVdlQnxUFY=
 github.com/client9/misspell v0.3.4/go.mod h1:qj6jICC3Q7zFZvVWo7KLAzC3yx5G7kyvSDkc90ppPyw=
 github.com/cncf/udpa/go v0.0.0-20191209042840-269d4d468f6f/go.mod h1:M8M6+tZqaGXZJjfX53e64911xZQV5JYwmTeXPW+k8Sc=
-github.com/containerd/cgroups v1.0.5-0.20220816231112-7083cd60b721 h1:qWq0iv560E8jXZKwWipx3Xot0dYPyfKBeDNfRwYth/U=
-github.com/containerd/cgroups v1.0.5-0.20220816231112-7083cd60b721/go.mod h1:6ppBcbh/NOOUU+dMKrykgaBnK9lCIBxHqJDGwsa1mIw=
-github.com/containerd/cgroups/v3 v3.0.0-20221112182753-e8802a182774 h1:Tej/o6wjJ3icV9qkPopNXJxk2oeVAmRc7JL0q5JeUq8=
-github.com/containerd/cgroups/v3 v3.0.0-20221112182753-e8802a182774/go.mod h1:/vtwk1VXrtoa5AaZLkypuOJgA/6DyPMZHJPGQNtlHnw=
+github.com/containerd/cgroups v1.1.0 h1:v8rEWFl6EoqHB+swVNjVoCJE8o3jX7e8nqBGPLaDFBM=
+github.com/containerd/cgroups v1.1.0/go.mod h1:6ppBcbh/NOOUU+dMKrykgaBnK9lCIBxHqJDGwsa1mIw=
+github.com/containerd/cgroups/v3 v3.0.0 h1:EzSABvwGkHxdwtZsNBWl8M3iNh+0lMJb/fmtyoSXlsc=
+github.com/containerd/cgroups/v3 v3.0.0/go.mod h1:/vtwk1VXrtoa5AaZLkypuOJgA/6DyPMZHJPGQNtlHnw=
 github.com/containerd/console v1.0.1/go.mod h1:XUsP6YE/mKtz6bxc+I8UiKKTP04qjQL4qcS3XoQ5xkw=
 github.com/containerd/console v1.0.3 h1:lIr7SlA5PxZyMV30bDW0MGbiOPXwc63yRuCP0ARubLw=
 github.com/containerd/console v1.0.3/go.mod h1:7LqA/THxQ86k76b8c/EMSiaJ3h1eZkMkXar0TQ1gf3U=
-github.com/containerd/containerd v1.7.0-beta.3 h1:PR1VOuSEQFHmxJlu0VDNxNpbfDnndrYHlreiXtEPcjk=
-github.com/containerd/containerd v1.7.0-beta.3/go.mod h1:FpdL1A1z4j6AtyXJ1CKFc+Z2AfynurGumKkYjIYJGH4=
+github.com/containerd/containerd v1.7.0-rc.0 h1:rGS4anSqNDBu1Qwv41NWlf7C2j0t/DhJCE5/5rks4cE=
+github.com/containerd/containerd v1.7.0-rc.0/go.mod h1:8pPKw+uap/Sj2ljNRdsPaToszoscMu9sPgjU8+3DU8k=
 github.com/containerd/continuity v0.3.0 h1:nisirsYROK15TAMVukJOUyGJjz4BNQJBVsNvAXZJ/eg=
 github.com/containerd/continuity v0.3.0/go.mod h1:wJEAIwKOm/pBZuBd0JmeTvnLquTB1Ag8espWhkykbPM=
 github.com/containerd/fifo v1.0.0 h1:6PirWBr9/L7GDamKr+XM0IeUFXu5mf3M/BPpH9gaLBU=
@@ -82,14 +82,14 @@ github.com/containerd/go-cni v1.1.9 h1:ORi7P1dYzCwVM6XPN4n3CbkuOx/NZ2DOqy+SHRdo9
 github.com/containerd/go-cni v1.1.9/go.mod h1:XYrZJ1d5W6E2VOvjffL3IZq0Dz6bsVlERHbekNK90PM=
 github.com/containerd/go-runc v1.0.0 h1:oU+lLv1ULm5taqgV/CJivypVODI4SUz1znWjv3nNYS0=
 github.com/containerd/go-runc v1.0.0/go.mod h1:cNU0ZbCgCQVZK4lgG3P+9tn9/PaJNmoDXPpoJhDR+Ok=
-github.com/containerd/ttrpc v1.1.1-0.20220420014843-944ef4a40df3 h1:BhCp66ofL8oYcdelc3CBXc2/Pfvvgx+s+mrp9TvNgn8=
-github.com/containerd/ttrpc v1.1.1-0.20220420014843-944ef4a40df3/go.mod h1:YYyNVhZrTMiaf51Vj6WhAJqJw+vl/nzABhj8pWrzle4=
-github.com/containerd/typeurl v1.0.3-0.20220422153119-7f6e6d160d67 h1:rQvjv7gRi6Ki/NS/U9oLZFhqyk4dh/GH2M3o/4BRkMM=
-github.com/containerd/typeurl v1.0.3-0.20220422153119-7f6e6d160d67/go.mod h1:HDkcKOXRnX6yKnXv3P0QrogFi0DoiauK/LpQi961f0A=
+github.com/containerd/ttrpc v1.1.1-0.20230127163717-32fab2374638 h1:8eVDsirmav+3F0gKY9q/NboZuAqLg++AzW5/HZKKUY4=
+github.com/containerd/ttrpc v1.1.1-0.20230127163717-32fab2374638/go.mod h1:YYyNVhZrTMiaf51Vj6WhAJqJw+vl/nzABhj8pWrzle4=
+github.com/containerd/typeurl/v2 v2.1.0 h1:yNAhJvbNEANt7ck48IlEGOxP7YAp6LLpGn5jZACDNIE=
+github.com/containerd/typeurl/v2 v2.1.0/go.mod h1:IDp2JFvbwZ31H8dQbEIY7sDl2L3o3HZj1hsSQlywkQ0=
 github.com/containernetworking/cni v1.1.2 h1:wtRGZVv7olUHMOqouPpn3cXJWpJgM6+EUl31EQbXALQ=
 github.com/containernetworking/cni v1.1.2/go.mod h1:sDpYKmGVENF3s6uvMvGgldDWeG8dMxakj/u+i9ht9vw=
-github.com/containernetworking/plugins v1.1.1 h1:+AGfFigZ5TiQH00vhR8qPeSatj53eNGz0C1d3wVYlHE=
-github.com/containernetworking/plugins v1.1.1/go.mod h1:Sr5TH/eBsGLXK/h71HeLfX19sZPp3ry5uHSkI4LPxV8=
+github.com/containernetworking/plugins v1.2.0 h1:SWgg3dQG1yzUo4d9iD8cwSVh1VqI+bP7mkPDoSfP9VU=
+github.com/containernetworking/plugins v1.2.0/go.mod h1:/VjX4uHecW5vVimFa1wkG4s+r/s9qIfPdqlLF4TW8c4=
 github.com/coreos/go-systemd/v22 v22.3.2/go.mod h1:Y58oyj3AT4RCenI/lSvhwexgC+NSVTIJ3seZv2GcEnc=
 github.com/coreos/go-systemd/v22 v22.5.0 h1:RrqgGjYQKalulkV8NGVIfkXQf6YYmOyiJKk8iXXhfZs=
 github.com/coreos/go-systemd/v22 v22.5.0/go.mod h1:Y58oyj3AT4RCenI/lSvhwexgC+NSVTIJ3seZv2GcEnc=
@@ -157,8 +157,9 @@ github.com/go-task/slim-sprig v0.0.0-20210107165309-348f09dbbbc0/go.mod h1:fyg78
 github.com/goccy/go-json v0.10.0 h1:mXKd9Qw4NuzShiRlOXKews24ufknHO7gx30lsDyokKA=
 github.com/goccy/go-json v0.10.0/go.mod h1:6MelG93GURQebXPDq3khkgXZkazVtN9CRI+MGFi0w8I=
 github.com/godbus/dbus/v5 v5.0.4/go.mod h1:xhWf0FNVPg57R7Z0UbKHbJfkEywrmjJnf7w5xrFpKfA=
-github.com/godbus/dbus/v5 v5.0.6 h1:mkgN1ofwASrYnJ5W6U/BxG15eXXXjirgZc7CLqkcaro=
 github.com/godbus/dbus/v5 v5.0.6/go.mod h1:xhWf0FNVPg57R7Z0UbKHbJfkEywrmjJnf7w5xrFpKfA=
+github.com/godbus/dbus/v5 v5.1.0 h1:4KLkAxT3aOY8Li4FRJe/KvhoNFFxo0m6fNuFUO8QJUk=
+github.com/godbus/dbus/v5 v5.1.0/go.mod h1:xhWf0FNVPg57R7Z0UbKHbJfkEywrmjJnf7w5xrFpKfA=
 github.com/gogo/protobuf v1.1.1/go.mod h1:r8qH/GZQm5c6nD/R0oafs1akxWv10x8SbQlK7atdtwQ=
 github.com/gogo/protobuf v1.3.2 h1:Ov1cvc58UF3b5XjBnZv7+opcTcQFZebYjWzi34vdm4Q=
 github.com/gogo/protobuf v1.3.2/go.mod h1:P1XiOD3dCwIKUDQYPy72D8LYyHL2YPYrpS2s69NZV8Q=
@@ -342,14 +343,14 @@ github.com/nxadm/tail v1.4.8 h1:nPr65rt6Y5JFSKQO7qToXr7pePgD6Gwiw05lkbyAQTE=
 github.com/nxadm/tail v1.4.8/go.mod h1:+ncqLTQzXmGhMZNUePPaPqPvBxHAIsmXswZKocGu+AU=
 github.com/onsi/ginkgo v1.6.0/go.mod h1:lLunBs/Ym6LB5Z9jYTR76FiuTmxDTDusOGeTQH+WWjE=
 github.com/onsi/ginkgo v1.12.1/go.mod h1:zj2OWP4+oCPe1qIXoGWkgMRwljMUYCdkwsT2108oapk=
-github.com/onsi/ginkgo v1.16.4 h1:29JGrr5oVBm5ulCWet69zQkzWipVXIol6ygQUe/EzNc=
 github.com/onsi/ginkgo v1.16.4/go.mod h1:dX+/inL/fNMqNlz0e9LfyB9TswhZpCVdJM/Z6Vvnwo0=
+github.com/onsi/ginkgo v1.16.5 h1:8xi0RTUf59SOSfEtZMvwTvXYMzG4gV23XVHOZiXNtnE=
 github.com/onsi/ginkgo/v2 v2.1.3/go.mod h1:vw5CSIxN1JObi/U8gcbwft7ZxR2dgaR70JSE3/PpL4c=
 github.com/onsi/ginkgo/v2 v2.4.0 h1:+Ig9nvqgS5OBSACXNk15PLdp0U9XPYROt9CFzVdFGIs=
 github.com/onsi/gomega v1.7.1/go.mod h1:XdKZgCCFLUoM/7CFJVPcG8C1xQ1AJ0vpAezJrB7JYyY=
 github.com/onsi/gomega v1.10.1/go.mod h1:iN09h71vgCQne3DLsj+A5owkum+a2tYe+TOCB1ybHNo=
 github.com/onsi/gomega v1.17.0/go.mod h1:HnhC7FXeEQY45zxNK3PPoIUhzk/80Xly9PcubAlGdZY=
-github.com/onsi/gomega v1.23.0 h1:/oxKu9c2HVap+F3PfKort2Hw5DEU+HGlW8n+tguWsys=
+github.com/onsi/gomega v1.24.2 h1:J/tulyYK6JwBldPViHJReihxxZ+22FHs0piGjQAvoUE=
 github.com/opencontainers/go-digest v1.0.0 h1:apOUWs51W5PlhuyGyz9FCeeBIOUDA/6nW8Oi/yOhh5U=
 github.com/opencontainers/go-digest v1.0.0/go.mod h1:0JzlMkj0TRzQZfJkVvzbP0HBR3IKzErnv2BNG4W4MAM=
 github.com/opencontainers/image-spec v1.1.0-rc2.0.20221005185240-3a7f492d3f1b h1:YWuSjZCQAPM8UUBLkYUk1e+rZcvWHJmFb6i6rM44Xs8=
@@ -458,10 +459,10 @@ go.opencensus.io v0.22.3/go.mod h1:yxeiOL68Rb0Xd1ddK5vPZ/oVn4vY4Ynel7k9FzqtOIw=
 go.opencensus.io v0.22.4/go.mod h1:yxeiOL68Rb0Xd1ddK5vPZ/oVn4vY4Ynel7k9FzqtOIw=
 go.opencensus.io v0.24.0 h1:y73uSU6J157QMP2kn2r30vwW1A2W2WFwSCGnAVxeaD0=
 go.opencensus.io v0.24.0/go.mod h1:vNK8G9p7aAivkbmorf4v+7Hgx+Zs0yY+0fOtgBfjQKo=
-go.opentelemetry.io/otel v1.11.1 h1:4WLLAmcfkmDk2ukNXJyq3/kiz/3UzCaYq6PskJsaou4=
-go.opentelemetry.io/otel v1.11.1/go.mod h1:1nNhXBbWSD0nsL38H6btgnFN2k4i0sNLHNNMZMSbUGE=
-go.opentelemetry.io/otel/trace v1.11.1 h1:ofxdnzsNrGBYXbP7t7zpUK281+go5rF7dvdIZXF8gdQ=
-go.opentelemetry.io/otel/trace v1.11.1/go.mod h1:f/Q9G7vzk5u91PhbmKbg1Qn0rzH1LJ4vbPHFGkTPtOk=
+go.opentelemetry.io/otel v1.12.0 h1:IgfC7kqQrRccIKuB7Cl+SRUmsKbEwSGPr0Eu+/ht1SQ=
+go.opentelemetry.io/otel v1.12.0/go.mod h1:geaoz0L0r1BEOR81k7/n9W4TCXYCJ7bPO7K374jQHG0=
+go.opentelemetry.io/otel/trace v1.12.0 h1:p28in++7Kd0r2d8gSt931O57fdjUyWxkVbESuILAeUc=
+go.opentelemetry.io/otel/trace v1.12.0/go.mod h1:pHlgBynn6s25qJ2szD+Bv+iwKJttjHSI3lUAyf0GNuQ=
 go.uber.org/goleak v1.1.12 h1:gZAh5/EyT/HQwlpkCy6wTpqfH9H8Lz8zbm3dZh+OyzA=
 golang.org/x/crypto v0.0.0-20180904163835-0709b304e793/go.mod h1:6SG95UA2DQfeDnfUPMdvaQW0Q7yPrPDi9nlGo2tz2b4=
 golang.org/x/crypto v0.0.0-20190308221718-c2843e01d9a2/go.mod h1:djNgcEr1/C05ACkg1iLfiJU5Ep61QUkGW8qpdssI0+w=
@@ -503,8 +504,8 @@ golang.org/x/mod v0.1.1-0.20191105210325-c90efee705ee/go.mod h1:QqPTAvyqsEbceGzB
 golang.org/x/mod v0.1.1-0.20191107180719-034126e5016b/go.mod h1:QqPTAvyqsEbceGzBzNggFXnrqF1CaUcvgkdR5Ot7KZg=
 golang.org/x/mod v0.2.0/go.mod h1:s0Qsj1ACt9ePp/hMypM3fl4fZqREWJwdYDEqhRiZZUA=
 golang.org/x/mod v0.3.0/go.mod h1:s0Qsj1ACt9ePp/hMypM3fl4fZqREWJwdYDEqhRiZZUA=
-golang.org/x/mod v0.6.0 h1:b9gGHsz9/HhJ3HF5DHQytPpuwocVTChQJK3AvoLRD5I=
-golang.org/x/mod v0.6.0/go.mod h1:4mET923SAdbXp2ki8ey+zGs1SLqsuM2Y0uvdZR/fUNI=
+golang.org/x/mod v0.7.0 h1:LapD9S96VoQRhi/GrNTqeBJFrUjs5UHCAtTlgwA5oZA=
+golang.org/x/mod v0.7.0/go.mod h1:iBbtSCu2XBx23ZKBPSOrRkjjQPZFPuis4dIYUhu/chs=
 golang.org/x/net v0.0.0-20180724234803-3673e40ba225/go.mod h1:mL1N/T3taQHkDXs73rZJwtUhF3w3ftmwwsq0BUmARs4=
 golang.org/x/net v0.0.0-20180826012351-8a410e7b638d/go.mod h1:mL1N/T3taQHkDXs73rZJwtUhF3w3ftmwwsq0BUmARs4=
 golang.org/x/net v0.0.0-20180906233101-161cd47e91fd/go.mod h1:mL1N/T3taQHkDXs73rZJwtUhF3w3ftmwwsq0BUmARs4=
@@ -685,8 +686,8 @@ golang.org/x/tools v0.0.0-20200804011535-6c149bb5ef0d/go.mod h1:njjCfa9FT2d7l9Bc
 golang.org/x/tools v0.0.0-20200825202427-b303f430e36d/go.mod h1:njjCfa9FT2d7l9Bc6FUM5FLjQPp3cFF28FI3qnDFljA=
 golang.org/x/tools v0.0.0-20201224043029-2b0845dc783e/go.mod h1:emZCQorbCU4vsT4fOWvOPXz4eW1wZW4PmDk9uLelYpA=
 golang.org/x/tools v0.0.0-20210106214847-113979e3529a/go.mod h1:emZCQorbCU4vsT4fOWvOPXz4eW1wZW4PmDk9uLelYpA=
-golang.org/x/tools v0.2.0 h1:G6AHpWxTMGY1KyEYoAQ5WTtIekUUvDNjan3ugu60JvE=
-golang.org/x/tools v0.2.0/go.mod h1:y4OqIKeOV/fWJetJ8bXPU1sEVniLMIyDAZWeHdV+NTA=
+golang.org/x/tools v0.5.0 h1:+bSpV5HIeWkuvgaMfI3UmKRThoTA5ODJTUd8T17NO+4=
+golang.org/x/tools v0.5.0/go.mod h1:N+Kgy78s5I24c24dU8OfWNEotWjutIs8SnJvn5IDq+k=
 golang.org/x/xerrors v0.0.0-20190717185122-a985d3407aa7/go.mod h1:I/5z698sn9Ka8TeJc9MKroUUfqBBauWjQqLJ2OPfmY0=
 golang.org/x/xerrors v0.0.0-20191011141410-1b5146add898/go.mod h1:I/5z698sn9Ka8TeJc9MKroUUfqBBauWjQqLJ2OPfmY0=
 golang.org/x/xerrors v0.0.0-20191204190536-9bdfabe68543/go.mod h1:I/5z698sn9Ka8TeJc9MKroUUfqBBauWjQqLJ2OPfmY0=
@@ -745,8 +746,8 @@ google.golang.org/genproto v0.0.0-20200729003335-053ba62fc06f/go.mod h1:FWY/as6D
 google.golang.org/genproto v0.0.0-20200804131852-c06518451d9c/go.mod h1:FWY/as6DDZQgahTzZj3fqbO1CbirC29ZNUFHwi0/+no=
 google.golang.org/genproto v0.0.0-20200825200019-8632dd797987/go.mod h1:FWY/as6DDZQgahTzZj3fqbO1CbirC29ZNUFHwi0/+no=
 google.golang.org/genproto v0.0.0-20201019141844-1ed22bb0c154/go.mod h1:FWY/as6DDZQgahTzZj3fqbO1CbirC29ZNUFHwi0/+no=
-google.golang.org/genproto v0.0.0-20230110181048-76db0878b65f h1:BWUVssLB0HVOSY78gIdvk1dTVYtT1y8SBWtPYuTJ/6w=
-google.golang.org/genproto v0.0.0-20230110181048-76db0878b65f/go.mod h1:RGgjbofJ8xD9Sq1VVhDM1Vok1vRONV+rg+CjzG4SZKM=
+google.golang.org/genproto v0.0.0-20230131230820-1c016267d619 h1:p0kMzw6AG0JEzd7Z+kXqOiLhC6gjUQTbtS2zR0Q3DbI=
+google.golang.org/genproto v0.0.0-20230131230820-1c016267d619/go.mod h1:RGgjbofJ8xD9Sq1VVhDM1Vok1vRONV+rg+CjzG4SZKM=
 google.golang.org/grpc v1.19.0/go.mod h1:mqu4LbDTu4XGKhr4mRzUsmM4RtVoemTSY81AxZiDr8c=
 google.golang.org/grpc v1.20.1/go.mod h1:10oTOabMzJvdu6/UiuZezV6QK5dSlG84ov/aaiqXj38=
 google.golang.org/grpc v1.21.1/go.mod h1:oYelfM1adQP15Ek0mdvEgi9Df8B9CZIaU1084ijfRaM=
diff --git a/fs/source/source.go b/fs/source/source.go
index 17b20ecde..e93732d2b 100644
--- a/fs/source/source.go
+++ b/fs/source/source.go
@@ -200,3 +200,72 @@ func appendWithValidation(key string, values []string) string {
 	}
 	return strings.TrimSuffix(v, ",")
 }
+
+// TODO: switch to "github.com/containerd/containerd/pkg/snapshotters" once all tools using
+//
+//	stargz-snapshotter (e.g. k3s) move to containerd version where that pkg is available.
+const (
+	// targetImageLayersLabel is a label which contains layer digests contained in
+	// the target image and will be passed to snapshotters for preparing layers in
+	// parallel. Skipping some layers is allowed and only affects performance.
+	targetImageLayersLabelContainerd = "containerd.io/snapshot/cri.image-layers"
+)
+
+// AppendExtraLabelsHandler adds optional labels that aren't provided by
+// "github.com/containerd/containerd/pkg/snapshotters" but can be used for stargz snapshotter's extra functionalities.
+func AppendExtraLabelsHandler(prefetchSize int64, wrapper func(images.Handler) images.Handler) func(images.Handler) images.Handler {
+	return func(f images.Handler) images.Handler {
+		return images.HandlerFunc(func(ctx context.Context, desc ocispec.Descriptor) ([]ocispec.Descriptor, error) {
+			children, err := wrapper(f).Handle(ctx, desc)
+			if err != nil {
+				return nil, err
+			}
+			switch desc.MediaType {
+			case ocispec.MediaTypeImageManifest, images.MediaTypeDockerSchema2Manifest:
+				for i := range children {
+					c := &children[i]
+					if !images.IsLayerType(c.MediaType) {
+						continue
+					}
+					if _, ok := c.Annotations[targetURLsLabel]; !ok { // nop if this key is already set
+						c.Annotations[targetURLsLabel] = appendWithValidation(targetURLsLabel, c.URLs)
+					}
+
+					if _, ok := c.Annotations[config.TargetPrefetchSizeLabel]; !ok { // nop if this key is already set
+						c.Annotations[config.TargetPrefetchSizeLabel] = fmt.Sprintf("%d", prefetchSize)
+					}
+
+					// Store URLs of the neighbouring layer as well.
+					nlayers, ok := c.Annotations[targetImageLayersLabelContainerd]
+					if !ok {
+						continue
+					}
+					for j, dstr := range strings.Split(nlayers, ",") {
+						d, err := digest.Parse(dstr)
+						if err != nil {
+							return nil, err
+						}
+						l, ok := layerFromDigest(children, d)
+						if !ok {
+							continue
+						}
+						urlsKey := targetImageURLsLabelPrefix + fmt.Sprintf("%d", j)
+						if _, ok := c.Annotations[urlsKey]; !ok { // nop if this key is already set
+							c.Annotations[urlsKey] = appendWithValidation(urlsKey, l.URLs)
+						}
+					}
+				}
+			}
+			return children, nil
+		})
+	}
+}
+
+func layerFromDigest(layers []ocispec.Descriptor, target digest.Digest) (ocispec.Descriptor, bool) {
+	for _, l := range layers {
+		if l.Digest == target {
+			return l, images.IsLayerType(l.MediaType)
+		}
+	}
+	return ocispec.Descriptor{}, false
+}
diff --git a/go.mod b/go.mod
index fa2c62c05..41130eb94 100644
--- a/go.mod
+++ b/go.mod
@@ -4,7 +4,7 @@ go 1.19
 
 require (
 	github.com/containerd/console v1.0.3
-	github.com/containerd/containerd v1.7.0-beta.3
+	github.com/containerd/containerd v1.7.0-rc.0
 	github.com/containerd/continuity v0.3.0
 	github.com/containerd/stargz-snapshotter/estargz v0.14.1
 	github.com/docker/cli v23.0.1+incompatible
@@ -35,16 +35,16 @@ require (
 	github.com/AdaLogics/go-fuzz-headers v0.0.0-20230106234847-43070de90fa1 // indirect
 	github.com/AdamKorcz/go-118-fuzz-build v0.0.0-20221215162035-5330a85ea652 // indirect
 	github.com/Microsoft/go-winio v0.6.0 // indirect
-	github.com/Microsoft/hcsshim v0.10.0-rc.4 // indirect
+	github.com/Microsoft/hcsshim v0.10.0-rc.5 // indirect
 	github.com/beorn7/perks v1.0.1 // indirect
 	github.com/cespare/xxhash/v2 v2.2.0 // indirect
-	github.com/containerd/cgroups v1.0.5-0.20220816231112-7083cd60b721 // indirect
-	github.com/containerd/cgroups/v3 v3.0.0-20221112182753-e8802a182774 // indirect
+	github.com/containerd/cgroups v1.1.0 // indirect
+	github.com/containerd/cgroups/v3 v3.0.0 // indirect
 	github.com/containerd/fifo v1.0.0 // indirect
-	github.com/containerd/go-cni v1.1.6 // indirect
-	github.com/containerd/ttrpc v1.1.1-0.20220420014843-944ef4a40df3 // indirect
-	github.com/containerd/typeurl v1.0.3-0.20220422153119-7f6e6d160d67 //indirect
-	github.com/containernetworking/cni v1.1.1 // indirect
+	github.com/containerd/go-cni v1.1.9-0.20230211172349-6603d5bd8941 // indirect
+	github.com/containerd/ttrpc v1.1.1-0.20230127163717-32fab2374638 // indirect
+	github.com/containerd/typeurl/v2 v2.1.0 // indirect
+	github.com/containernetworking/cni v1.1.2 // indirect
 	github.com/cpuguy83/go-md2man/v2 v2.0.2 // indirect
 	github.com/cyphar/filepath-securejoin v0.2.3 // indirect
 	github.com/davecgh/go-spew v1.1.1 // indirect
@@ -88,21 +88,21 @@ require (
 	github.com/russross/blackfriday/v2 v2.1.0 // indirect
 	github.com/spf13/pflag v1.0.5 // indirect
 	github.com/stretchr/testify v1.8.1 // indirect
-	github.com/urfave/cli v1.22.10 // indirect
+	github.com/urfave/cli v1.22.12 // indirect
 	github.com/vbatts/tar-split v0.11.2 // indirect
-	go.etcd.io/bbolt v1.3.6 // indirect
+	go.etcd.io/bbolt v1.3.7 // indirect
 	go.opencensus.io v0.24.0 // indirect
-	go.opentelemetry.io/otel v1.11.1 // indirect
-	go.opentelemetry.io/otel/trace v1.11.1 // indirect
-	golang.org/x/mod v0.6.0 // indirect
+	go.opentelemetry.io/otel v1.12.0 // indirect
+	go.opentelemetry.io/otel/trace v1.12.0 // indirect
+	golang.org/x/mod v0.7.0 // indirect
 	golang.org/x/net v0.7.0 // indirect
 	golang.org/x/oauth2 v0.4.0 // indirect
 	golang.org/x/term v0.5.0 // indirect
 	golang.org/x/text v0.7.0 // indirect
 	golang.org/x/time v0.0.0-20220210224613-90d013bbcef8 // indirect
-	golang.org/x/tools v0.2.0 // indirect
+	golang.org/x/tools v0.5.0 // indirect
 	google.golang.org/appengine v1.6.7 // indirect
-	google.golang.org/genproto v0.0.0-20230110181048-76db0878b65f // indirect
+	google.golang.org/genproto v0.0.0-20230131230820-1c016267d619 // indirect
 	gopkg.in/inf.v0 v0.9.1 // indirect
 	gopkg.in/yaml.v2 v2.4.0 // indirect
 	gopkg.in/yaml.v3 v3.0.1 // indirect
diff --git a/go.sum b/go.sum
index 388850d18..31298fedc 100644
--- a/go.sum
+++ b/go.sum
@@ -36,11 +36,12 @@ github.com/AdaLogics/go-fuzz-headers v0.0.0-20230106234847-43070de90fa1/go.mod h
 github.com/AdamKorcz/go-118-fuzz-build v0.0.0-20221215162035-5330a85ea652 h1:+vTEFqeoeur6XSq06bs+roX3YiT49gUniJK7Zky7Xjg=
 github.com/AdamKorcz/go-118-fuzz-build v0.0.0-20221215162035-5330a85ea652/go.mod h1:OahwfttHWG6eJ0clwcfBAHoDI6X/LV/15hx/wlMZSrU=
 github.com/BurntSushi/toml v0.3.1/go.mod h1:xHWCNGjB5oqiDr8zfno3MHue2Ht5sIBksp03qcyfWMU=
+github.com/BurntSushi/toml v1.2.1/go.mod h1:CxXYINrC8qIiEnFrOxCa7Jy5BFHlXnUU2pbicEuybxQ=
 github.com/BurntSushi/xgb v0.0.0-20160522181843-27f122750802/go.mod h1:IVnqGOEym/WlBOVXweHU+Q+/VP0lqqI8lqeDx9IjBqo=
 github.com/Microsoft/go-winio v0.6.0 h1:slsWYD/zyx7lCXoZVlvQrj0hPTM1HI4+v1sIda2yDvg=
 github.com/Microsoft/go-winio v0.6.0/go.mod h1:cTAf44im0RAYeL23bpB+fzCyDH2MJiz2BO69KH/soAE=
-github.com/Microsoft/hcsshim v0.10.0-rc.4 h1:r/hSRKXFIdLYzZDbdieRxSY8T83Y0wBKNHZDKntNMSA=
-github.com/Microsoft/hcsshim v0.10.0-rc.4/go.mod h1:hsiMVxtFCazmXlTXTUZYPPUx/InoWw6U+HWuRndR1rw=
+github.com/Microsoft/hcsshim v0.10.0-rc.5 h1:JfkknPHBtfdC2Ezd+jpl8Kicw7UyhvUSzoy6xsqirwY=
+github.com/Microsoft/hcsshim v0.10.0-rc.5/go.mod h1:NNb9uh/cgA52AVhc9+Y7U+YyHQS9nHHA4STcAjdg2xk=
 github.com/alecthomas/template v0.0.0-20160405071501-a0175ee3bccc/go.mod h1:LOuyumcjzFXgccqObfd/Ljyb9UuFJ6TxHnclSeseNhc=
 github.com/alecthomas/template v0.0.0-20190718012654-fb15b899a751/go.mod h1:LOuyumcjzFXgccqObfd/Ljyb9UuFJ6TxHnclSeseNhc=
 github.com/alecthomas/units v0.0.0-20151022065526-2efee857e7cf/go.mod h1:ybxpYRFXyAe+OPACYpWeL0wqObRcbAqCMya13uyzqw0=
@@ -62,26 +63,26 @@ github.com/chzyer/test v0.0.0-20180213035817-a1ea475d72b1/go.mod h1:Q3SI9o4m/ZMn
 github.com/cilium/ebpf v0.7.0/go.mod h1:/oI2+1shJiTGAMgl6/RgJr36Eo1jzrRcAWbcXO2usCA=
 github.com/client9/misspell v0.3.4/go.mod h1:qj6jICC3Q7zFZvVWo7KLAzC3yx5G7kyvSDkc90ppPyw=
 github.com/cncf/udpa/go v0.0.0-20191209042840-269d4d468f6f/go.mod h1:M8M6+tZqaGXZJjfX53e64911xZQV5JYwmTeXPW+k8Sc=
-github.com/containerd/cgroups v1.0.5-0.20220816231112-7083cd60b721 h1:qWq0iv560E8jXZKwWipx3Xot0dYPyfKBeDNfRwYth/U=
-github.com/containerd/cgroups v1.0.5-0.20220816231112-7083cd60b721/go.mod h1:6ppBcbh/NOOUU+dMKrykgaBnK9lCIBxHqJDGwsa1mIw=
-github.com/containerd/cgroups/v3 v3.0.0-20221112182753-e8802a182774 h1:Tej/o6wjJ3icV9qkPopNXJxk2oeVAmRc7JL0q5JeUq8=
-github.com/containerd/cgroups/v3 v3.0.0-20221112182753-e8802a182774/go.mod h1:/vtwk1VXrtoa5AaZLkypuOJgA/6DyPMZHJPGQNtlHnw=
+github.com/containerd/cgroups v1.1.0 h1:v8rEWFl6EoqHB+swVNjVoCJE8o3jX7e8nqBGPLaDFBM=
+github.com/containerd/cgroups v1.1.0/go.mod h1:6ppBcbh/NOOUU+dMKrykgaBnK9lCIBxHqJDGwsa1mIw=
+github.com/containerd/cgroups/v3 v3.0.0 h1:EzSABvwGkHxdwtZsNBWl8M3iNh+0lMJb/fmtyoSXlsc=
+github.com/containerd/cgroups/v3 v3.0.0/go.mod h1:/vtwk1VXrtoa5AaZLkypuOJgA/6DyPMZHJPGQNtlHnw=
 github.com/containerd/console v1.0.3 h1:lIr7SlA5PxZyMV30bDW0MGbiOPXwc63yRuCP0ARubLw=
 github.com/containerd/console v1.0.3/go.mod h1:7LqA/THxQ86k76b8c/EMSiaJ3h1eZkMkXar0TQ1gf3U=
-github.com/containerd/containerd v1.7.0-beta.3 h1:PR1VOuSEQFHmxJlu0VDNxNpbfDnndrYHlreiXtEPcjk=
-github.com/containerd/containerd v1.7.0-beta.3/go.mod h1:FpdL1A1z4j6AtyXJ1CKFc+Z2AfynurGumKkYjIYJGH4=
+github.com/containerd/containerd v1.7.0-rc.0 h1:rGS4anSqNDBu1Qwv41NWlf7C2j0t/DhJCE5/5rks4cE=
+github.com/containerd/containerd v1.7.0-rc.0/go.mod h1:8pPKw+uap/Sj2ljNRdsPaToszoscMu9sPgjU8+3DU8k=
 github.com/containerd/continuity v0.3.0 h1:nisirsYROK15TAMVukJOUyGJjz4BNQJBVsNvAXZJ/eg=
 github.com/containerd/continuity v0.3.0/go.mod h1:wJEAIwKOm/pBZuBd0JmeTvnLquTB1Ag8espWhkykbPM=
 github.com/containerd/fifo v1.0.0 h1:6PirWBr9/L7GDamKr+XM0IeUFXu5mf3M/BPpH9gaLBU=
 github.com/containerd/fifo v1.0.0/go.mod h1:ocF/ME1SX5b1AOlWi9r677YJmCPSwwWnQ9O123vzpE4=
-github.com/containerd/go-cni v1.1.6 h1:el5WPymG5nRRLQF1EfB97FWob4Tdc8INg8RZMaXWZlo=
-github.com/containerd/go-cni v1.1.6/go.mod h1:BWtoWl5ghVymxu6MBjg79W9NZrCRyHIdUtk4cauMe34=
-github.com/containerd/ttrpc v1.1.1-0.20220420014843-944ef4a40df3 h1:BhCp66ofL8oYcdelc3CBXc2/Pfvvgx+s+mrp9TvNgn8=
-github.com/containerd/ttrpc v1.1.1-0.20220420014843-944ef4a40df3/go.mod h1:YYyNVhZrTMiaf51Vj6WhAJqJw+vl/nzABhj8pWrzle4=
-github.com/containerd/typeurl v1.0.3-0.20220422153119-7f6e6d160d67 h1:rQvjv7gRi6Ki/NS/U9oLZFhqyk4dh/GH2M3o/4BRkMM=
-github.com/containerd/typeurl v1.0.3-0.20220422153119-7f6e6d160d67/go.mod h1:HDkcKOXRnX6yKnXv3P0QrogFi0DoiauK/LpQi961f0A=
-github.com/containernetworking/cni v1.1.1 h1:ky20T7c0MvKvbMOwS/FrlbNwjEoqJEUUYfsL4b0mc4k=
-github.com/containernetworking/cni v1.1.1/go.mod h1:sDpYKmGVENF3s6uvMvGgldDWeG8dMxakj/u+i9ht9vw=
+github.com/containerd/go-cni v1.1.9-0.20230211172349-6603d5bd8941 h1:5dA/FSSk54LtYPYcNGZfzgbmHOWYWjSjfZFGEO3SbRQ=
+github.com/containerd/go-cni v1.1.9-0.20230211172349-6603d5bd8941/go.mod h1:XYrZJ1d5W6E2VOvjffL3IZq0Dz6bsVlERHbekNK90PM=
+github.com/containerd/ttrpc v1.1.1-0.20230127163717-32fab2374638 h1:8eVDsirmav+3F0gKY9q/NboZuAqLg++AzW5/HZKKUY4=
+github.com/containerd/ttrpc v1.1.1-0.20230127163717-32fab2374638/go.mod h1:YYyNVhZrTMiaf51Vj6WhAJqJw+vl/nzABhj8pWrzle4=
+github.com/containerd/typeurl/v2 v2.1.0 h1:yNAhJvbNEANt7ck48IlEGOxP7YAp6LLpGn5jZACDNIE=
+github.com/containerd/typeurl/v2 v2.1.0/go.mod h1:IDp2JFvbwZ31H8dQbEIY7sDl2L3o3HZj1hsSQlywkQ0=
+github.com/containernetworking/cni v1.1.2 h1:wtRGZVv7olUHMOqouPpn3cXJWpJgM6+EUl31EQbXALQ=
+github.com/containernetworking/cni v1.1.2/go.mod h1:sDpYKmGVENF3s6uvMvGgldDWeG8dMxakj/u+i9ht9vw=
 github.com/coreos/go-systemd/v22 v22.3.2/go.mod h1:Y58oyj3AT4RCenI/lSvhwexgC+NSVTIJ3seZv2GcEnc=
 github.com/cpuguy83/go-md2man/v2 v2.0.0-20190314233015-f79a8a8ca69d/go.mod h1:maD7wRr/U5Z6m/iR4s+kqSMx2CaBsrgA7czyZG/E6dU=
 github.com/cpuguy83/go-md2man/v2 v2.0.2 h1:p1EgwI/C7NhT0JmVkwCD2ZBK8j4aeHQX2pMHHBfMQ6w=
@@ -388,8 +389,8 @@ github.com/stretchr/testify v1.8.1/go.mod h1:w2LPCIKwWwSfY2zedu0+kehJoqGctiVI29o
 github.com/syndtr/gocapability v0.0.0-20200815063812-42c35b437635/go.mod h1:hkRG7XYTFWNJGYcbNJQlaLq0fg1yr4J4t/NcTQtrfww=
 github.com/urfave/cli v1.22.1/go.mod h1:Gos4lmkARVdJ6EkW0WaNv/tZAAMe9V7XWyB60NtXRu0=
 github.com/urfave/cli v1.22.4/go.mod h1:Gos4lmkARVdJ6EkW0WaNv/tZAAMe9V7XWyB60NtXRu0=
-github.com/urfave/cli v1.22.10 h1:p8Fspmz3iTctJstry1PYS3HVdllxnEzTEsgIgtxTrCk=
-github.com/urfave/cli v1.22.10/go.mod h1:Gos4lmkARVdJ6EkW0WaNv/tZAAMe9V7XWyB60NtXRu0=
+github.com/urfave/cli v1.22.12 h1:igJgVw1JdKH+trcLWLeLwZjU9fEfPesQ+9/e4MQ44S8=
+github.com/urfave/cli v1.22.12/go.mod h1:sSBEIC79qR6OvcmsD4U3KABeOTxDqQtdDnaFuUN30b8=
 github.com/vbatts/tar-split v0.11.2 h1:Via6XqJr0hceW4wff3QRzD5gAk/tatMw/4ZA7cTlIME=
 github.com/vbatts/tar-split v0.11.2/go.mod h1:vV3ZuO2yWSVsz+pfFzDG/upWH1JhjOiEaWq6kXyQ3VI=
 github.com/vishvananda/netlink v1.1.0/go.mod h1:cTgwzPIzzgDAYoQrMm0EdrjRUBkTqKYppBueQtXaqoE=
@@ -398,8 +399,8 @@ github.com/yuin/goldmark v1.1.25/go.mod h1:3hX8gzYuyVAZsxl0MRgGTJEmQBFcNTphYh9de
 github.com/yuin/goldmark v1.1.27/go.mod h1:3hX8gzYuyVAZsxl0MRgGTJEmQBFcNTphYh9decYSb74=
 github.com/yuin/goldmark v1.1.32/go.mod h1:3hX8gzYuyVAZsxl0MRgGTJEmQBFcNTphYh9decYSb74=
 github.com/yuin/goldmark v1.2.1/go.mod h1:3hX8gzYuyVAZsxl0MRgGTJEmQBFcNTphYh9decYSb74=
-go.etcd.io/bbolt v1.3.6 h1:/ecaJf0sk1l4l6V4awd65v2C3ILy7MSj+s/x1ADCIMU=
-go.etcd.io/bbolt v1.3.6/go.mod h1:qXsaaIqmgQH0T+OPdb99Bf+PKfBBQVAdyD6TY9G8XM4=
+go.etcd.io/bbolt v1.3.7 h1:j+zJOnnEjF/kyHlDDgGnVL/AIqIJPq8UoB2GSNfkUfQ=
+go.etcd.io/bbolt v1.3.7/go.mod h1:N9Mkw9X8x5fupy0IKsmuqVtoGDyxsaDlbk4Rd05IAQw=
 go.opencensus.io v0.21.0/go.mod h1:mSImk1erAIZhrmZN+AvHh14ztQfjbGwt4TtuofqLduU=
 go.opencensus.io v0.22.0/go.mod h1:+kGneAE2xo2IficOXnaByMWTGM9T73dGwxeWcUqIpI8=
 go.opencensus.io v0.22.2/go.mod h1:yxeiOL68Rb0Xd1ddK5vPZ/oVn4vY4Ynel7k9FzqtOIw=
@@ -407,10 +408,10 @@ go.opencensus.io v0.22.3/go.mod h1:yxeiOL68Rb0Xd1ddK5vPZ/oVn4vY4Ynel7k9FzqtOIw=
 go.opencensus.io v0.22.4/go.mod h1:yxeiOL68Rb0Xd1ddK5vPZ/oVn4vY4Ynel7k9FzqtOIw=
 go.opencensus.io v0.24.0 h1:y73uSU6J157QMP2kn2r30vwW1A2W2WFwSCGnAVxeaD0=
 go.opencensus.io v0.24.0/go.mod h1:vNK8G9p7aAivkbmorf4v+7Hgx+Zs0yY+0fOtgBfjQKo=
-go.opentelemetry.io/otel v1.11.1 h1:4WLLAmcfkmDk2ukNXJyq3/kiz/3UzCaYq6PskJsaou4=
-go.opentelemetry.io/otel v1.11.1/go.mod h1:1nNhXBbWSD0nsL38H6btgnFN2k4i0sNLHNNMZMSbUGE=
-go.opentelemetry.io/otel/trace v1.11.1 h1:ofxdnzsNrGBYXbP7t7zpUK281+go5rF7dvdIZXF8gdQ=
-go.opentelemetry.io/otel/trace v1.11.1/go.mod h1:f/Q9G7vzk5u91PhbmKbg1Qn0rzH1LJ4vbPHFGkTPtOk=
+go.opentelemetry.io/otel v1.12.0 h1:IgfC7kqQrRccIKuB7Cl+SRUmsKbEwSGPr0Eu+/ht1SQ=
+go.opentelemetry.io/otel v1.12.0/go.mod h1:geaoz0L0r1BEOR81k7/n9W4TCXYCJ7bPO7K374jQHG0=
+go.opentelemetry.io/otel/trace v1.12.0 h1:p28in++7Kd0r2d8gSt931O57fdjUyWxkVbESuILAeUc=
+go.opentelemetry.io/otel/trace v1.12.0/go.mod h1:pHlgBynn6s25qJ2szD+Bv+iwKJttjHSI3lUAyf0GNuQ=
 golang.org/x/crypto v0.0.0-20180904163835-0709b304e793/go.mod h1:6SG95UA2DQfeDnfUPMdvaQW0Q7yPrPDi9nlGo2tz2b4=
 golang.org/x/crypto v0.0.0-20190308221718-c2843e01d9a2/go.mod h1:djNgcEr1/C05ACkg1iLfiJU5Ep61QUkGW8qpdssI0+w=
 golang.org/x/crypto v0.0.0-20190510104115-cbcb75029529/go.mod h1:yigFU9vqHzYiE8UmvKecakEJjdnWj3jj499lnFckfCI=
@@ -447,8 +448,8 @@ golang.org/x/mod v0.1.1-0.20191105210325-c90efee705ee/go.mod h1:QqPTAvyqsEbceGzB
 golang.org/x/mod v0.1.1-0.20191107180719-034126e5016b/go.mod h1:QqPTAvyqsEbceGzBzNggFXnrqF1CaUcvgkdR5Ot7KZg=
 golang.org/x/mod v0.2.0/go.mod h1:s0Qsj1ACt9ePp/hMypM3fl4fZqREWJwdYDEqhRiZZUA=
 golang.org/x/mod v0.3.0/go.mod h1:s0Qsj1ACt9ePp/hMypM3fl4fZqREWJwdYDEqhRiZZUA=
-golang.org/x/mod v0.6.0 h1:b9gGHsz9/HhJ3HF5DHQytPpuwocVTChQJK3AvoLRD5I=
-golang.org/x/mod v0.6.0/go.mod h1:4mET923SAdbXp2ki8ey+zGs1SLqsuM2Y0uvdZR/fUNI=
+golang.org/x/mod v0.7.0 h1:LapD9S96VoQRhi/GrNTqeBJFrUjs5UHCAtTlgwA5oZA=
+golang.org/x/mod v0.7.0/go.mod h1:iBbtSCu2XBx23ZKBPSOrRkjjQPZFPuis4dIYUhu/chs=
 golang.org/x/net v0.0.0-20180724234803-3673e40ba225/go.mod h1:mL1N/T3taQHkDXs73rZJwtUhF3w3ftmwwsq0BUmARs4=
 golang.org/x/net v0.0.0-20180826012351-8a410e7b638d/go.mod h1:mL1N/T3taQHkDXs73rZJwtUhF3w3ftmwwsq0BUmARs4=
 golang.org/x/net v0.0.0-20180906233101-161cd47e91fd/go.mod h1:mL1N/T3taQHkDXs73rZJwtUhF3w3ftmwwsq0BUmARs4=
@@ -548,7 +549,6 @@ golang.org/x/sys v0.0.0-20200523222454-059865788121/go.mod h1:h1NjWce9XRLGQEsW7w
 golang.org/x/sys v0.0.0-20200615200032-f1bc736245b1/go.mod h1:h1NjWce9XRLGQEsW7wpKNCjG9DtNlClVuFLEZdDNbEs=
 golang.org/x/sys v0.0.0-20200625212154-ddb9806d33ae/go.mod h1:h1NjWce9XRLGQEsW7wpKNCjG9DtNlClVuFLEZdDNbEs=
 golang.org/x/sys v0.0.0-20200803210538-64077c9b5642/go.mod h1:h1NjWce9XRLGQEsW7wpKNCjG9DtNlClVuFLEZdDNbEs=
-golang.org/x/sys v0.0.0-20200923182605-d9f96fdee20d/go.mod h1:h1NjWce9XRLGQEsW7wpKNCjG9DtNlClVuFLEZdDNbEs=
 golang.org/x/sys v0.0.0-20200930185726-fdedc70b468f/go.mod h1:h1NjWce9XRLGQEsW7wpKNCjG9DtNlClVuFLEZdDNbEs=
 golang.org/x/sys v0.0.0-20201119102817-f84b799fce68/go.mod h1:h1NjWce9XRLGQEsW7wpKNCjG9DtNlClVuFLEZdDNbEs=
 golang.org/x/sys v0.0.0-20210112080510-489259a85091/go.mod h1:h1NjWce9XRLGQEsW7wpKNCjG9DtNlClVuFLEZdDNbEs=
@@ -628,8 +628,8 @@ golang.org/x/tools v0.0.0-20200825202427-b303f430e36d/go.mod h1:njjCfa9FT2d7l9Bc
 golang.org/x/tools v0.0.0-20201224043029-2b0845dc783e/go.mod h1:emZCQorbCU4vsT4fOWvOPXz4eW1wZW4PmDk9uLelYpA=
 golang.org/x/tools v0.0.0-20210106214847-113979e3529a/go.mod h1:emZCQorbCU4vsT4fOWvOPXz4eW1wZW4PmDk9uLelYpA=
 golang.org/x/tools v0.1.0/go.mod h1:xkSsbof2nBLbhDlRMhhhyNLN/zl3eTqcnHD5viDpcZ0=
-golang.org/x/tools v0.2.0 h1:G6AHpWxTMGY1KyEYoAQ5WTtIekUUvDNjan3ugu60JvE=
-golang.org/x/tools v0.2.0/go.mod h1:y4OqIKeOV/fWJetJ8bXPU1sEVniLMIyDAZWeHdV+NTA=
+golang.org/x/tools v0.5.0 h1:+bSpV5HIeWkuvgaMfI3UmKRThoTA5ODJTUd8T17NO+4=
+golang.org/x/tools v0.5.0/go.mod h1:N+Kgy78s5I24c24dU8OfWNEotWjutIs8SnJvn5IDq+k=
 golang.org/x/xerrors v0.0.0-20190717185122-a985d3407aa7/go.mod h1:I/5z698sn9Ka8TeJc9MKroUUfqBBauWjQqLJ2OPfmY0=
 golang.org/x/xerrors v0.0.0-20191011141410-1b5146add898/go.mod h1:I/5z698sn9Ka8TeJc9MKroUUfqBBauWjQqLJ2OPfmY0=
 golang.org/x/xerrors v0.0.0-20191204190536-9bdfabe68543/go.mod h1:I/5z698sn9Ka8TeJc9MKroUUfqBBauWjQqLJ2OPfmY0=
@@ -688,8 +688,8 @@ google.golang.org/genproto v0.0.0-20200729003335-053ba62fc06f/go.mod h1:FWY/as6D
 google.golang.org/genproto v0.0.0-20200804131852-c06518451d9c/go.mod h1:FWY/as6DDZQgahTzZj3fqbO1CbirC29ZNUFHwi0/+no=
 google.golang.org/genproto v0.0.0-20200825200019-8632dd797987/go.mod h1:FWY/as6DDZQgahTzZj3fqbO1CbirC29ZNUFHwi0/+no=
 google.golang.org/genproto v0.0.0-20201019141844-1ed22bb0c154/go.mod h1:FWY/as6DDZQgahTzZj3fqbO1CbirC29ZNUFHwi0/+no=
-google.golang.org/genproto v0.0.0-20230110181048-76db0878b65f h1:BWUVssLB0HVOSY78gIdvk1dTVYtT1y8SBWtPYuTJ/6w=
-google.golang.org/genproto v0.0.0-20230110181048-76db0878b65f/go.mod h1:RGgjbofJ8xD9Sq1VVhDM1Vok1vRONV+rg+CjzG4SZKM=
+google.golang.org/genproto v0.0.0-20230131230820-1c016267d619 h1:p0kMzw6AG0JEzd7Z+kXqOiLhC6gjUQTbtS2zR0Q3DbI=
+google.golang.org/genproto v0.0.0-20230131230820-1c016267d619/go.mod h1:RGgjbofJ8xD9Sq1VVhDM1Vok1vRONV+rg+CjzG4SZKM=
 google.golang.org/grpc v1.19.0/go.mod h1:mqu4LbDTu4XGKhr4mRzUsmM4RtVoemTSY81AxZiDr8c=
 google.golang.org/grpc v1.20.1/go.mod h1:10oTOabMzJvdu6/UiuZezV6QK5dSlG84ov/aaiqXj38=
 google.golang.org/grpc v1.21.1/go.mod h1:oYelfM1adQP15Ek0mdvEgi9Df8B9CZIaU1084ijfRaM=
diff --git a/ipfs/go.mod b/ipfs/go.mod
index 0cca40f08..16e31fed1 100644
--- a/ipfs/go.mod
+++ b/ipfs/go.mod
@@ -3,7 +3,7 @@ module github.com/containerd/stargz-snapshotter/ipfs
 go 1.19
 
 require (
-	github.com/containerd/containerd v1.7.0-beta.3
+	github.com/containerd/containerd v1.7.0-rc.0
 	github.com/mitchellh/go-homedir v1.1.0
 	github.com/multiformats/go-multiaddr v0.8.0
 	github.com/opencontainers/image-spec v1.1.0-rc2.0.20221005185240-3a7f492d3f1b
@@ -13,12 +13,12 @@ require (
 	github.com/AdaLogics/go-fuzz-headers v0.0.0-20230106234847-43070de90fa1 // indirect
 	github.com/AdamKorcz/go-118-fuzz-build v0.0.0-20221215162035-5330a85ea652 // indirect
 	github.com/Microsoft/go-winio v0.6.0 // indirect
-	github.com/Microsoft/hcsshim v0.10.0-rc.4 // indirect
-	github.com/containerd/cgroups v1.0.4 // indirect
+	github.com/Microsoft/hcsshim v0.10.0-rc.5 // indirect
+	github.com/containerd/cgroups v1.1.0 // indirect
 	github.com/containerd/continuity v0.3.0 // indirect
 	github.com/containerd/fifo v1.0.0 // indirect
-	github.com/containerd/ttrpc v1.1.1-0.20220420014843-944ef4a40df3 // indirect
-	github.com/containerd/typeurl v1.0.3-0.20220422153119-7f6e6d160d67 // indirect
+	github.com/containerd/ttrpc v1.1.1-0.20230127163717-32fab2374638 // indirect
+	github.com/containerd/typeurl/v2 v2.1.0 // indirect
 	github.com/cyphar/filepath-securejoin v0.2.3 // indirect
 	github.com/docker/go-events v0.0.0-20190806004212-e31b211e4f1c // indirect
 	github.com/go-logr/logr v1.2.3 // indirect
@@ -51,17 +51,17 @@ require (
 	github.com/sirupsen/logrus v1.9.0 // indirect
 	github.com/spaolacci/murmur3 v1.1.0 // indirect
 	go.opencensus.io v0.24.0 // indirect
-	go.opentelemetry.io/otel v1.11.1 // indirect
-	go.opentelemetry.io/otel/trace v1.11.1 // indirect
+	go.opentelemetry.io/otel v1.12.0 // indirect
+	go.opentelemetry.io/otel/trace v1.12.0 // indirect
 	golang.org/x/crypto v0.1.0 // indirect
-	golang.org/x/mod v0.6.0 // indirect
+	golang.org/x/mod v0.7.0 // indirect
 	golang.org/x/net v0.7.0 // indirect
 	golang.org/x/sync v0.1.0 // indirect
 	golang.org/x/sys v0.5.0 // indirect
 	golang.org/x/text v0.7.0 // indirect
-	golang.org/x/tools v0.2.0 // indirect
-	google.golang.org/genproto v0.0.0-20221206210731-b1a01be3a5f6 // indirect
-	google.golang.org/grpc v1.51.0 // indirect
+	golang.org/x/tools v0.5.0 // indirect
+	google.golang.org/genproto v0.0.0-20230131230820-1c016267d619 // indirect
+	google.golang.org/grpc v1.52.3 // indirect
 	google.golang.org/protobuf v1.28.1 // indirect
 	lukechampine.com/blake3 v1.1.6 // indirect
 )
diff --git a/ipfs/go.sum b/ipfs/go.sum
index 2548126f8..3a69cce70 100644
--- a/ipfs/go.sum
+++ b/ipfs/go.sum
@@ -6,26 +6,26 @@ github.com/AdamKorcz/go-118-fuzz-build v0.0.0-20221215162035-5330a85ea652/go.mod
 github.com/BurntSushi/toml v0.3.1/go.mod h1:xHWCNGjB5oqiDr8zfno3MHue2Ht5sIBksp03qcyfWMU=
 github.com/Microsoft/go-winio v0.6.0 h1:slsWYD/zyx7lCXoZVlvQrj0hPTM1HI4+v1sIda2yDvg=
 github.com/Microsoft/go-winio v0.6.0/go.mod h1:cTAf44im0RAYeL23bpB+fzCyDH2MJiz2BO69KH/soAE=
-github.com/Microsoft/hcsshim v0.10.0-rc.4 h1:r/hSRKXFIdLYzZDbdieRxSY8T83Y0wBKNHZDKntNMSA=
-github.com/Microsoft/hcsshim v0.10.0-rc.4/go.mod h1:hsiMVxtFCazmXlTXTUZYPPUx/InoWw6U+HWuRndR1rw=
+github.com/Microsoft/hcsshim v0.10.0-rc.5 h1:JfkknPHBtfdC2Ezd+jpl8Kicw7UyhvUSzoy6xsqirwY=
+github.com/Microsoft/hcsshim v0.10.0-rc.5/go.mod h1:NNb9uh/cgA52AVhc9+Y7U+YyHQS9nHHA4STcAjdg2xk=
 github.com/census-instrumentation/opencensus-proto v0.2.1/go.mod h1:f6KPmirojxKA12rnyqOA5BBL4O983OfeGPqjHWSTneU=
 github.com/checkpoint-restore/go-criu/v5 v5.3.0/go.mod h1:E/eQpaFtUKGOOSEBZgmKAcn+zUUwWxqcaKZlF54wK8E=
 github.com/cilium/ebpf v0.7.0/go.mod h1:/oI2+1shJiTGAMgl6/RgJr36Eo1jzrRcAWbcXO2usCA=
 github.com/client9/misspell v0.3.4/go.mod h1:qj6jICC3Q7zFZvVWo7KLAzC3yx5G7kyvSDkc90ppPyw=
 github.com/cncf/udpa/go v0.0.0-20191209042840-269d4d468f6f/go.mod h1:M8M6+tZqaGXZJjfX53e64911xZQV5JYwmTeXPW+k8Sc=
-github.com/containerd/cgroups v1.0.4 h1:jN/mbWBEaz+T1pi5OFtnkQ+8qnmEbAr1Oo1FRm5B0dA=
-github.com/containerd/cgroups v1.0.4/go.mod h1:nLNQtsF7Sl2HxNebu77i1R0oDlhiTG+kO4JTrUzo6IA=
+github.com/containerd/cgroups v1.1.0 h1:v8rEWFl6EoqHB+swVNjVoCJE8o3jX7e8nqBGPLaDFBM=
+github.com/containerd/cgroups v1.1.0/go.mod h1:6ppBcbh/NOOUU+dMKrykgaBnK9lCIBxHqJDGwsa1mIw=
 github.com/containerd/console v1.0.3/go.mod h1:7LqA/THxQ86k76b8c/EMSiaJ3h1eZkMkXar0TQ1gf3U=
-github.com/containerd/containerd v1.7.0-beta.3 h1:PR1VOuSEQFHmxJlu0VDNxNpbfDnndrYHlreiXtEPcjk=
-github.com/containerd/containerd v1.7.0-beta.3/go.mod h1:FpdL1A1z4j6AtyXJ1CKFc+Z2AfynurGumKkYjIYJGH4=
+github.com/containerd/containerd v1.7.0-rc.0 h1:rGS4anSqNDBu1Qwv41NWlf7C2j0t/DhJCE5/5rks4cE=
+github.com/containerd/containerd v1.7.0-rc.0/go.mod h1:8pPKw+uap/Sj2ljNRdsPaToszoscMu9sPgjU8+3DU8k=
 github.com/containerd/continuity v0.3.0 h1:nisirsYROK15TAMVukJOUyGJjz4BNQJBVsNvAXZJ/eg=
 github.com/containerd/continuity v0.3.0/go.mod h1:wJEAIwKOm/pBZuBd0JmeTvnLquTB1Ag8espWhkykbPM=
 github.com/containerd/fifo v1.0.0 h1:6PirWBr9/L7GDamKr+XM0IeUFXu5mf3M/BPpH9gaLBU=
 github.com/containerd/fifo v1.0.0/go.mod h1:ocF/ME1SX5b1AOlWi9r677YJmCPSwwWnQ9O123vzpE4=
-github.com/containerd/ttrpc v1.1.1-0.20220420014843-944ef4a40df3 h1:BhCp66ofL8oYcdelc3CBXc2/Pfvvgx+s+mrp9TvNgn8=
-github.com/containerd/ttrpc v1.1.1-0.20220420014843-944ef4a40df3/go.mod h1:YYyNVhZrTMiaf51Vj6WhAJqJw+vl/nzABhj8pWrzle4=
-github.com/containerd/typeurl v1.0.3-0.20220422153119-7f6e6d160d67 h1:rQvjv7gRi6Ki/NS/U9oLZFhqyk4dh/GH2M3o/4BRkMM=
-github.com/containerd/typeurl v1.0.3-0.20220422153119-7f6e6d160d67/go.mod h1:HDkcKOXRnX6yKnXv3P0QrogFi0DoiauK/LpQi961f0A=
+github.com/containerd/ttrpc v1.1.1-0.20230127163717-32fab2374638 h1:8eVDsirmav+3F0gKY9q/NboZuAqLg++AzW5/HZKKUY4=
+github.com/containerd/ttrpc v1.1.1-0.20230127163717-32fab2374638/go.mod h1:YYyNVhZrTMiaf51Vj6WhAJqJw+vl/nzABhj8pWrzle4=
+github.com/containerd/typeurl/v2 v2.1.0 h1:yNAhJvbNEANt7ck48IlEGOxP7YAp6LLpGn5jZACDNIE=
+github.com/containerd/typeurl/v2 v2.1.0/go.mod h1:IDp2JFvbwZ31H8dQbEIY7sDl2L3o3HZj1hsSQlywkQ0=
 github.com/coreos/go-systemd/v22 v22.3.2/go.mod h1:Y58oyj3AT4RCenI/lSvhwexgC+NSVTIJ3seZv2GcEnc=
 github.com/cpuguy83/go-md2man/v2 v2.0.0-20190314233015-f79a8a8ca69d/go.mod h1:maD7wRr/U5Z6m/iR4s+kqSMx2CaBsrgA7czyZG/E6dU=
 github.com/cyphar/filepath-securejoin v0.2.3 h1:YX6ebbZCZP7VkM3scTTokDgBL2TY741X51MTk3ycuNI=
@@ -170,10 +170,10 @@ github.com/yuin/goldmark v1.1.27/go.mod h1:3hX8gzYuyVAZsxl0MRgGTJEmQBFcNTphYh9de
 github.com/yuin/goldmark v1.2.1/go.mod h1:3hX8gzYuyVAZsxl0MRgGTJEmQBFcNTphYh9decYSb74=
 go.opencensus.io v0.24.0 h1:y73uSU6J157QMP2kn2r30vwW1A2W2WFwSCGnAVxeaD0=
 go.opencensus.io v0.24.0/go.mod h1:vNK8G9p7aAivkbmorf4v+7Hgx+Zs0yY+0fOtgBfjQKo=
-go.opentelemetry.io/otel v1.11.1 h1:4WLLAmcfkmDk2ukNXJyq3/kiz/3UzCaYq6PskJsaou4=
-go.opentelemetry.io/otel v1.11.1/go.mod h1:1nNhXBbWSD0nsL38H6btgnFN2k4i0sNLHNNMZMSbUGE=
-go.opentelemetry.io/otel/trace v1.11.1 h1:ofxdnzsNrGBYXbP7t7zpUK281+go5rF7dvdIZXF8gdQ=
-go.opentelemetry.io/otel/trace v1.11.1/go.mod h1:f/Q9G7vzk5u91PhbmKbg1Qn0rzH1LJ4vbPHFGkTPtOk=
+go.opentelemetry.io/otel v1.12.0 h1:IgfC7kqQrRccIKuB7Cl+SRUmsKbEwSGPr0Eu+/ht1SQ=
+go.opentelemetry.io/otel v1.12.0/go.mod h1:geaoz0L0r1BEOR81k7/n9W4TCXYCJ7bPO7K374jQHG0=
+go.opentelemetry.io/otel/trace v1.12.0 h1:p28in++7Kd0r2d8gSt931O57fdjUyWxkVbESuILAeUc=
+go.opentelemetry.io/otel/trace v1.12.0/go.mod h1:pHlgBynn6s25qJ2szD+Bv+iwKJttjHSI3lUAyf0GNuQ=
 golang.org/x/crypto v0.0.0-20190308221718-c2843e01d9a2/go.mod h1:djNgcEr1/C05ACkg1iLfiJU5Ep61QUkGW8qpdssI0+w=
 golang.org/x/crypto v0.0.0-20191011191535-87dc89f01550/go.mod h1:yigFU9vqHzYiE8UmvKecakEJjdnWj3jj499lnFckfCI=
 golang.org/x/crypto v0.0.0-20200622213623-75b288015ac9/go.mod h1:LzIPMQfyMNhhGPhUkYOs5KpL4U8rLKemX1yGLhDgUto=
@@ -187,8 +187,8 @@ golang.org/x/lint v0.0.0-20190227174305-5b3e6a55c961/go.mod h1:wehouNa3lNwaWXcvx
 golang.org/x/lint v0.0.0-20190313153728-d0100b6bd8b3/go.mod h1:6SW0HCj/g11FgYtHlgUYUwCkIfeOF89ocIRzGO/8vkc=
 golang.org/x/mod v0.2.0/go.mod h1:s0Qsj1ACt9ePp/hMypM3fl4fZqREWJwdYDEqhRiZZUA=
 golang.org/x/mod v0.3.0/go.mod h1:s0Qsj1ACt9ePp/hMypM3fl4fZqREWJwdYDEqhRiZZUA=
-golang.org/x/mod v0.6.0 h1:b9gGHsz9/HhJ3HF5DHQytPpuwocVTChQJK3AvoLRD5I=
-golang.org/x/mod v0.6.0/go.mod h1:4mET923SAdbXp2ki8ey+zGs1SLqsuM2Y0uvdZR/fUNI=
+golang.org/x/mod v0.7.0 h1:LapD9S96VoQRhi/GrNTqeBJFrUjs5UHCAtTlgwA5oZA=
+golang.org/x/mod v0.7.0/go.mod h1:iBbtSCu2XBx23ZKBPSOrRkjjQPZFPuis4dIYUhu/chs=
 golang.org/x/net v0.0.0-20180724234803-3673e40ba225/go.mod h1:mL1N/T3taQHkDXs73rZJwtUhF3w3ftmwwsq0BUmARs4=
 golang.org/x/net v0.0.0-20180826012351-8a410e7b638d/go.mod h1:mL1N/T3taQHkDXs73rZJwtUhF3w3ftmwwsq0BUmARs4=
 golang.org/x/net v0.0.0-20190213061140-3a22650c66bd/go.mod h1:mL1N/T3taQHkDXs73rZJwtUhF3w3ftmwwsq0BUmARs4=
@@ -242,8 +242,8 @@ golang.org/x/tools v0.0.0-20190524140312-2c0ae7006135/go.mod h1:RgjU9mgBXZiqYHBn
 golang.org/x/tools v0.0.0-20191119224855-298f0cb1881e/go.mod h1:b+2E5dAYhXwXZwtnZ6UAqBI28+e2cm9otk0dWdXHAEo=
 golang.org/x/tools v0.0.0-20200619180055-7c47624df98f/go.mod h1:EkVYQZoAsY45+roYkvgYkIh4xh/qjgUK9TdY2XT94GE=
 golang.org/x/tools v0.0.0-20210106214847-113979e3529a/go.mod h1:emZCQorbCU4vsT4fOWvOPXz4eW1wZW4PmDk9uLelYpA=
-golang.org/x/tools v0.2.0 h1:G6AHpWxTMGY1KyEYoAQ5WTtIekUUvDNjan3ugu60JvE=
-golang.org/x/tools v0.2.0/go.mod h1:y4OqIKeOV/fWJetJ8bXPU1sEVniLMIyDAZWeHdV+NTA=
+golang.org/x/tools v0.5.0 h1:+bSpV5HIeWkuvgaMfI3UmKRThoTA5ODJTUd8T17NO+4=
+golang.org/x/tools v0.5.0/go.mod h1:N+Kgy78s5I24c24dU8OfWNEotWjutIs8SnJvn5IDq+k=
 golang.org/x/xerrors v0.0.0-20190717185122-a985d3407aa7/go.mod h1:I/5z698sn9Ka8TeJc9MKroUUfqBBauWjQqLJ2OPfmY0=
 golang.org/x/xerrors v0.0.0-20191011141410-1b5146add898/go.mod h1:I/5z698sn9Ka8TeJc9MKroUUfqBBauWjQqLJ2OPfmY0=
 golang.org/x/xerrors v0.0.0-20191204190536-9bdfabe68543/go.mod h1:I/5z698sn9Ka8TeJc9MKroUUfqBBauWjQqLJ2OPfmY0=
@@ -254,16 +254,16 @@ google.golang.org/genproto v0.0.0-20180817151627-c66870c02cf8/go.mod h1:JiN7NxoA
 google.golang.org/genproto v0.0.0-20190819201941-24fa4b261c55/go.mod h1:DMBHOl98Agz4BDEuKkezgsaosCRResVns1a3J2ZsMNc=
 google.golang.org/genproto v0.0.0-20200224152610-e50cd9704f63/go.mod h1:55QSHmfGQM9UVYDPBsyGGes0y52j32PQ3BqQfXhyH3c=
 google.golang.org/genproto v0.0.0-20200526211855-cb27e3aa2013/go.mod h1:NbSheEEYHJ7i3ixzK3sjbqSGDJWnxyFXZblF3eUsNvo=
-google.golang.org/genproto v0.0.0-20221206210731-b1a01be3a5f6 h1:AGXp12e/9rItf6/4QymU7WsAUwCf+ICW75cuR91nJIc=
-google.golang.org/genproto v0.0.0-20221206210731-b1a01be3a5f6/go.mod h1:1dOng4TWOomJrDGhpXjfCD35wQC6jnC7HpRmOFRqEV0=
+google.golang.org/genproto v0.0.0-20230131230820-1c016267d619 h1:p0kMzw6AG0JEzd7Z+kXqOiLhC6gjUQTbtS2zR0Q3DbI=
+google.golang.org/genproto v0.0.0-20230131230820-1c016267d619/go.mod h1:RGgjbofJ8xD9Sq1VVhDM1Vok1vRONV+rg+CjzG4SZKM=
 google.golang.org/grpc v1.19.0/go.mod h1:mqu4LbDTu4XGKhr4mRzUsmM4RtVoemTSY81AxZiDr8c=
 google.golang.org/grpc v1.23.0/go.mod h1:Y5yQAOtifL1yxbo5wqy6BxZv8vAUGQwXBOALyacEbxg=
 google.golang.org/grpc v1.25.1/go.mod h1:c3i+UQWmh7LiEpx4sFZnkU36qjEYZ0imhYfXVyQciAY=
 google.golang.org/grpc v1.27.0/go.mod h1:qbnxyOmOxrQa7FizSgH+ReBfzJrCY1pSN7KXBS8abTk=
 google.golang.org/grpc v1.27.1/go.mod h1:qbnxyOmOxrQa7FizSgH+ReBfzJrCY1pSN7KXBS8abTk=
 google.golang.org/grpc v1.33.2/go.mod h1:JMHMWHQWaTccqQQlmk3MJZS+GWXOdAesneDmEnv2fbc=
-google.golang.org/grpc v1.51.0 h1:E1eGv1FTqoLIdnBCZufiSHgKjlqG6fKFf6pPWtMTh8U=
-google.golang.org/grpc v1.51.0/go.mod h1:wgNDFcnuBGmxLKI/qn4T+m5BtEBYXJPvibbUPsAIPww=
+google.golang.org/grpc v1.52.3 h1:pf7sOysg4LdgBqduXveGKrcEwbStiK2rtfghdzlUYDQ=
+google.golang.org/grpc v1.52.3/go.mod h1:pu6fVzoFb+NBYNAvQL08ic+lvB2IojljRYuun5vorUY=
 google.golang.org/protobuf v0.0.0-20200109180630-ec00e32a8dfd/go.mod h1:DFci5gLYBciE7Vtevhsrf46CRTquxDuWsQurQQe4oz8=
 google.golang.org/protobuf v0.0.0-20200221191635-4d8936d0db64/go.mod h1:kwYJMbMJ01Woi6D6+Kah6886xMZcty6N08ah7+eCXa0=
 google.golang.org/protobuf v0.0.0-20200228230310-ab0ca4ff8a60/go.mod h1:cfTl7dwQJ+fmap5saPgwCLgHXTUD7jkjRqWcaiX5VyM=
diff --git a/script/integration/containerd/entrypoint.sh b/script/integration/containerd/entrypoint.sh
index fd618990e..73c66b85f 100755
--- a/script/integration/containerd/entrypoint.sh
+++ b/script/integration/containerd/entrypoint.sh
@@ -44,6 +44,7 @@ USR_STARGZSN_PLAIN_STARGZ=$(mktemp -d)
 
 USR_NORMALSN_IPFS=$(mktemp -d)
 USR_STARGZSN_IPFS=$(mktemp -d)
+USR_STARGZSN_CTD_IPFS=$(mktemp -d)
 
 LOG_FILE=$(mktemp)
 function cleanup {
@@ -64,6 +65,7 @@ function cleanup {
 
     rm -rf "${USR_NORMALSN_IPFS}" || true
     rm -rf "${USR_STARGZSN_IPFS}" || true
+    rm -rf "${USR_STARGZSN_CTD_IPFS}" || true
     rm "${LOG_FILE}"
     exit "${ORG_EXIT_CODE}"
 }
@@ -291,13 +293,20 @@ if [ "${BUILTIN_SNAPSHOTTER}" != "true" ] ; then
     ipfs daemon --offline &
     retry curl -X POST localhost:5001/api/v0/version >/dev/null 2>&1 # wait for up
 
-    # stargz snapshotter
+    # stargz snapshotter (default labels)
     ctr-remote i pull --user "${DUMMYUSER}:${DUMMYPASS}" "${REGISTRY_HOST}/ubuntu:22.04"
     CID=$(ctr-remote i ipfs-push "${REGISTRY_HOST}/ubuntu:22.04")
     reboot_containerd
     run_and_check_remote_snapshots ctr-remote i rpull --ipfs "${CID}"
     copy_out_dir "${CID}" "/usr" "${USR_STARGZSN_IPFS}" "stargz"
 
+    # stargz snapshotter (containerd labels)
+    ctr-remote i pull --user "${DUMMYUSER}:${DUMMYPASS}" "${REGISTRY_HOST}/ubuntu:22.04"
+    CID=$(ctr-remote i ipfs-push "${REGISTRY_HOST}/ubuntu:22.04")
+    reboot_containerd
+    run_and_check_remote_snapshots ctr-remote i rpull --containerd-labels --ipfs "${CID}"
+    copy_out_dir "${CID}" "/usr" "${USR_STARGZSN_CTD_IPFS}" "stargz"
+
     # overlayfs snapshotter
     ctr-remote i pull --user "${DUMMYUSER}:${DUMMYPASS}" "${REGISTRY_HOST}/ubuntu:22.04"
     CID=$(ctr-remote i ipfs-push --estargz=false "${REGISTRY_HOST}/ubuntu:22.04")
@@ -305,9 +314,12 @@ if [ "${BUILTIN_SNAPSHOTTER}" != "true" ] ; then
     ctr-remote i rpull --snapshotter=overlayfs --ipfs "${CID}"
     copy_out_dir "${CID}" "/usr" "${USR_NORMALSN_IPFS}" "overlayfs"
 
-    echo "Diffing between two root filesystems(normal vs stargz snapshotter, IPFS rootfs)"
+    echo "Diffing between two root filesystems(normal vs stargz snapshotter(default labels), IPFS rootfs)"
     diff --no-dereference -qr "${USR_NORMALSN_IPFS}/" "${USR_STARGZSN_IPFS}/"
 
+    echo "Diffing between two root filesystems(normal vs stargz snapshotter(containerd labels), IPFS rootfs)"
+    diff --no-dereference -qr "${USR_NORMALSN_IPFS}/" "${USR_STARGZSN_CTD_IPFS}/"
+
     kill_all ipfs
 fi
 
diff --git a/service/cri.go b/service/cri.go
index f5f30f948..a6244c1c8 100644
--- a/service/cri.go
+++ b/service/cri.go
@@ -26,18 +26,34 @@ import (
 	ocispec "github.com/opencontainers/image-spec/specs-go/v1"
 )
 
+// TODO: switch to "github.com/containerd/containerd/pkg/snapshotters" once all tools using
+//
+//	stargz-snapshotter (e.g. k3s) move to containerd version where that pkg is available.
 const (
-	// targetRefLabel is a label which contains image reference passed from CRI plugin.
+	// targetRefLabel is a label which contains image reference and will be passed
+	// to snapshotters.
 	targetRefLabel = "containerd.io/snapshot/cri.image-ref"
-
-	// targetDigestLabel is a label which contains layer digest passed from CRI plugin.
-	targetDigestLabel = "containerd.io/snapshot/cri.layer-digest"
-
+	// targetLayerDigestLabel is a label which contains layer digest and will be passed
+	// to snapshotters.
+	targetLayerDigestLabel = "containerd.io/snapshot/cri.layer-digest"
 	// targetImageLayersLabel is a label which contains layer digests contained in
-	// the target image and is passed from CRI plugin.
+	// the target image and will be passed to snapshotters for preparing layers in
+	// parallel. Skipping some layers is allowed and only affects performance.
 	targetImageLayersLabel = "containerd.io/snapshot/cri.image-layers"
 )
 
+const (
+	// targetImageURLsLabelPrefix is a label prefix which constructs a map from the layer index to
+	// urls of the layer descriptor. This isn't contained in the set of the labels passed from CRI plugin but
+	// some clients (e.g. nerdctl) passes this for preserving url field in the OCI descriptor.
+	targetImageURLsLabelPrefix = "containerd.io/snapshot/remote/urls."
+
+	// targetURsLLabel is a label which contains layer URL. This is only used to pass URL from containerd
+	// to snapshotter. This isn't contained in the set of the labels passed from CRI plugin but
+	// some clients (e.g. nerdctl) passes this for preserving url field in the OCI descriptor.
+	targetURLsLabel = "containerd.io/snapshot/remote/urls"
+)
+
 func sourceFromCRILabels(hosts source.RegistryHosts) source.GetSources {
 	return func(labels map[string]string) ([]source.Source, error) {
 		refStr, ok := labels[targetRefLabel]
@@ -49,7 +65,7 @@ func sourceFromCRILabels(hosts source.RegistryHosts) source.GetSources {
 			return nil, err
 		}
 
-		digestStr, ok := labels[targetDigestLabel]
+		digestStr, ok := labels[targetLayerDigestLabel]
 		if !ok {
 			return nil, fmt.Errorf("digest hasn't been passed")
 		}
@@ -58,30 +74,38 @@ func sourceFromCRILabels(hosts source.RegistryHosts) source.GetSources {
 			return nil, err
 		}
 
-		var layersDgst []digest.Digest
+		var neighboringLayers []ocispec.Descriptor
 		if l, ok := labels[targetImageLayersLabel]; ok {
 			layersStr := strings.Split(l, ",")
-			for _, l := range layersStr {
+			for i, l := range layersStr {
 				d, err := digest.Parse(l)
 				if err != nil {
 					return nil, err
 				}
 				if d.String() != target.String() {
-					layersDgst = append(layersDgst, d)
+					desc := ocispec.Descriptor{Digest: d}
+					if urls, ok := labels[targetImageURLsLabelPrefix+fmt.Sprintf("%d", i)]; ok {
+						desc.URLs = strings.Split(urls, ",")
+					}
+					neighboringLayers = append(neighboringLayers, desc)
 				}
 			}
 		}
 
-		var layers []ocispec.Descriptor
-		for _, dgst := range append([]digest.Digest{target}, layersDgst...) {
-			layers = append(layers, ocispec.Descriptor{Digest: dgst})
+		targetDesc := ocispec.Descriptor{
+			Digest:      target,
+			Annotations: labels,
 		}
+		if targetURLs, ok := labels[targetURLsLabel]; ok {
+			targetDesc.URLs = append(targetDesc.URLs, strings.Split(targetURLs, ",")...)
+		}
+
 		return []source.Source{
 			{
 				Hosts:    hosts,
 				Name:     refspec,
 				Target:   ocispec.Descriptor{Digest: target},
-				Manifest: ocispec.Manifest{Layers: layers},
+				Manifest: ocispec.Manifest{Layers: append([]ocispec.Descriptor{targetDesc}, neighboringLayers...)},
 			},
 		}, nil
 	}