diff --git a/client/ayon_core/modules/avalon_apps/__init__.py b/client/ayon_core/modules/avalon_apps/__init__.py
deleted file mode 100644
index baa21cc803..0000000000
--- a/client/ayon_core/modules/avalon_apps/__init__.py
+++ /dev/null
@@ -1,6 +0,0 @@
-from .avalon_app import AvalonModule
-
-
-__all__ = (
-    "AvalonModule",
-)
diff --git a/client/ayon_core/modules/avalon_apps/rest_api.py b/client/ayon_core/modules/avalon_apps/rest_api.py
deleted file mode 100644
index 9435f51d80..0000000000
--- a/client/ayon_core/modules/avalon_apps/rest_api.py
+++ /dev/null
@@ -1,131 +0,0 @@
-import json
-import datetime
-
-from bson.objectid import ObjectId
-
-from aiohttp.web_response import Response
-
-from ayon_core.client import (
-    get_projects,
-    get_project,
-    get_assets,
-    get_asset_by_name,
-)
-from openpype_modules.webserver.base_routes import RestApiEndpoint
-
-
-class _RestApiEndpoint(RestApiEndpoint):
-    def __init__(self, resource):
-        self.resource = resource
-        super(_RestApiEndpoint, self).__init__()
-
-
-class AvalonProjectsEndpoint(_RestApiEndpoint):
-    async def get(self) -> Response:
-        output = [
-            project_doc
-            for project_doc in get_projects()
-        ]
-        return Response(
-            status=200,
-            body=self.resource.encode(output),
-            content_type="application/json"
-        )
-
-
-class AvalonProjectEndpoint(_RestApiEndpoint):
-    async def get(self, project_name) -> Response:
-        project_doc = get_project(project_name)
-        if project_doc:
-            return Response(
-                status=200,
-                body=self.resource.encode(project_doc),
-                content_type="application/json"
-            )
-        return Response(
-            status=404,
-            reason="Project name {} not found".format(project_name)
-        )
-
-
-class AvalonAssetsEndpoint(_RestApiEndpoint):
-    async def get(self, project_name) -> Response:
-        asset_docs = list(get_assets(project_name))
-        return Response(
-            status=200,
-            body=self.resource.encode(asset_docs),
-            content_type="application/json"
-        )
-
-
-class AvalonAssetEndpoint(_RestApiEndpoint):
-    async def get(self, project_name, asset_name) -> Response:
-        asset_doc = get_asset_by_name(project_name, asset_name)
-        if asset_doc:
-            return Response(
-                status=200,
-                body=self.resource.encode(asset_doc),
-                content_type="application/json"
-            )
-        return Response(
-            status=404,
-            reason="Asset name {} not found in project {}".format(
-                asset_name, project_name
-            )
-        )
-
-
-class AvalonRestApiResource:
-    def __init__(self, avalon_module, server_manager):
-        self.module = avalon_module
-        self.server_manager = server_manager
-
-        self.prefix = "/avalon"
-
-        self.endpoint_defs = (
-            (
-                "GET",
-                "/projects",
-                AvalonProjectsEndpoint(self)
-            ),
-            (
-                "GET",
-                "/projects/{project_name}",
-                AvalonProjectEndpoint(self)
-            ),
-            (
-                "GET",
-                "/projects/{project_name}/assets",
-                AvalonAssetsEndpoint(self)
-            ),
-            (
-                "GET",
-                "/projects/{project_name}/assets/{asset_name}",
-                AvalonAssetEndpoint(self)
-            )
-        )
-
-        self.register()
-
-    def register(self):
-        for methods, url, endpoint in self.endpoint_defs:
-            final_url = self.prefix + url
-            self.server_manager.add_route(
-                methods, final_url, endpoint.dispatch
-            )
-
-    @staticmethod
-    def json_dump_handler(value):
-        if isinstance(value, datetime.datetime):
-            return value.isoformat()
-        if isinstance(value, ObjectId):
-            return str(value)
-        raise TypeError(value)
-
-    @classmethod
-    def encode(cls, data):
-        return json.dumps(
-            data,
-            indent=4,
-            default=cls.json_dump_handler
-        ).encode("utf-8")
diff --git a/client/ayon_core/modules/base.py b/client/ayon_core/modules/base.py
index 27f1b871d1..10a21bc0b8 100644
--- a/client/ayon_core/modules/base.py
+++ b/client/ayon_core/modules/base.py
@@ -1278,7 +1278,7 @@ class TrayModulesManager(ModulesManager):
         "ftrack",
         "kitsu",
         "launcher_tool",
-        "avalon",
+        "library_tool",
         "clockify",
         "standalonepublish_tool",
         "traypublish_tool",
diff --git a/client/ayon_core/modules/avalon_apps/avalon_app.py b/client/ayon_core/modules/library_loader_action.py
similarity index 54%
rename from client/ayon_core/modules/avalon_apps/avalon_app.py
rename to client/ayon_core/modules/library_loader_action.py
index 041bd770a8..1d70a245df 100644
--- a/client/ayon_core/modules/avalon_apps/avalon_app.py
+++ b/client/ayon_core/modules/library_loader_action.py
@@ -1,43 +1,13 @@
-import os
-
-from ayon_core.modules import OpenPypeModule, ITrayModule
+from ayon_core.modules import AYONAddon, ITrayModule
 
 
-class AvalonModule(OpenPypeModule, ITrayModule):
-    name = "avalon"
+class LibraryLoaderAddon(AYONAddon, ITrayModule):
+    name = "library_tool"
 
     def initialize(self, modules_settings):
-        # This module is always enabled
-        self.enabled = True
-
-        avalon_settings = modules_settings[self.name]
-
-        thumbnail_root = os.environ.get("AVALON_THUMBNAIL_ROOT")
-        if not thumbnail_root:
-            thumbnail_root = avalon_settings["AVALON_THUMBNAIL_ROOT"]
-
-        # Mongo timeout
-        avalon_mongo_timeout = os.environ.get("AVALON_TIMEOUT")
-        if not avalon_mongo_timeout:
-            avalon_mongo_timeout = avalon_settings["AVALON_TIMEOUT"]
-
-        self.thumbnail_root = thumbnail_root
-        self.avalon_mongo_timeout = avalon_mongo_timeout
-
         # Tray attributes
         self._library_loader_imported = None
         self._library_loader_window = None
-        self.rest_api_obj = None
-
-    def get_global_environments(self):
-        """Avalon global environments for pype implementation."""
-        return {
-            # TODO thumbnails root should be multiplafrom
-            # - thumbnails root
-            "AVALON_THUMBNAIL_ROOT": self.thumbnail_root,
-            # - mongo timeout in ms
-            "AVALON_TIMEOUT": str(self.avalon_mongo_timeout),
-        }
 
     def tray_init(self):
         # Add library tool
@@ -89,13 +59,6 @@ class AvalonModule(OpenPypeModule, ITrayModule):
         # for Windows
         self._library_loader_window.activateWindow()
 
-    # Webserver module implementation
-    def webserver_initialization(self, server_manager):
-        """Add routes for webserver."""
-        if self.tray_initialized:
-            from .rest_api import AvalonRestApiResource
-            self.rest_api_obj = AvalonRestApiResource(self, server_manager)
-
     def _init_library_loader(self):
         from ayon_core.tools.loader.ui import LoaderWindow