I couldn't resist a good Shrek reference.
I wrote up a little about the pattern we implemented in building the Square MCP server. The key is layering. You don't want to expose your whole API surface to the top, as it'll overwhelm the LLM and let it run down wrong paths too easily.
Check out the post to learn a little more. I'd also love to chat if you have your own insights or try this out and want to tell me about the experience!
Block Engineering Blog
Build MCP Tools Like Ogres... With Layers
Avoid monolithic AI tools. Learn a layered MCP pattern that helps LLMs navigate complex APIs with better accuracy, debuggability, and structure.