diff --git a/free/src/main/scala/cats/free/Cofree.scala b/free/src/main/scala/cats/free/Cofree.scala
new file mode 100644
index 00000000000..74f2863bd93
--- /dev/null
+++ b/free/src/main/scala/cats/free/Cofree.scala
@@ -0,0 +1,135 @@
+package cats
+package free
+
+/**
+  * A free comonad for some branching functor `S`. Branching is done lazily using Eval.
+  * A tree with data at the branches, as opposed to Free which is a tree with data at the leaves.
+  * Not an instruction set functor made into a program monad as in Free, but an instruction set's outputs as a
+  * functor made into a tree of the possible worlds reachable using the instruction set.
+  *
+  * This Scala implementation of `Cofree` and its usages are derived from
+  * [[https://github.com/scalaz/scalaz/blob/series/7.3.x/core/src/main/scala/scalaz/Cofree.scala Scalaz's Cofree]],
+  * originally written by Rúnar Bjarnason.
+  */
+final case class Cofree[S[_], A](head: A, tailEval: Eval[S[Cofree[S, A]]]) {
+
+  /** Evaluates and returns the tail of the computation. */
+  def tailForced: S[Cofree[S, A]] = tailEval.value
+
+  /** Applies `f` to the head and `g` to the tail. */
+  def transform[B](f: A => B, g: Cofree[S, A] => Cofree[S, B])(implicit S: Functor[S]): Cofree[S, B] =
+    Cofree[S, B](f(head), tailEval.map(S.map(_)(g)))
+
+  /** Map over head and inner `S[_]` branches. */
+  def map[B](f: A => B)(implicit S: Functor[S]): Cofree[S, B] =
+    transform(f, _.map(f))
+
+  /** Transform the branching functor at the root of the Cofree tree. */
+  def mapBranchingRoot(nat: S ~> S)(implicit S: Functor[S]): Cofree[S, A] =
+    Cofree[S, A](head, tailEval.map(nat(_)))
+
+  /** Transform the branching functor, using the S functor to perform the recursion. */
+  def mapBranchingS[T[_]](nat: S ~> T)(implicit S: Functor[S]): Cofree[T, A] =
+    Cofree[T, A](head, tailEval.map(v => nat(S.map(v)(_.mapBranchingS(nat)))))
+
+  /** Transform the branching functor, using the T functor to perform the recursion. */
+  def mapBranchingT[T[_]](nat: S ~> T)(implicit T: Functor[T]): Cofree[T, A] =
+    Cofree[T, A](head, tailEval.map(v => T.map(nat(v))(_.mapBranchingT(nat))))
+
+  /** Map `f` over each subtree of the computation. */
+  def coflatMap[B](f: Cofree[S, A] => B)(implicit S: Functor[S]): Cofree[S, B] =
+    Cofree[S, B](f(this), tailEval.map(S.map(_)(_.coflatMap(f))))
+
+  /** Replace each node in the computation with the subtree from that node downwards */
+  def coflatten(implicit S: Functor[S]): Cofree[S, Cofree[S, A]] =
+    Cofree[S, Cofree[S, A]](this, tailEval.map(S.map(_)(_.coflatten)))
+
+  /** Alias for head. */
+  def extract: A = head
+
+  /** Evaluate just the tail. */
+  def forceTail: Cofree[S, A] =
+    Cofree[S, A](head, Eval.now(tailEval.value))
+
+  /** Evaluate the entire Cofree tree. */
+  def forceAll(implicit S: Functor[S]): Cofree[S, A] =
+    Cofree[S, A](head, Eval.now(tailEval.map(S.map(_)(_.forceAll)).value))
+
+}
+
+object Cofree extends CofreeInstances {
+
+  /** Cofree anamorphism, lazily evaluated. */
+  def unfold[F[_], A](a: A)(f: A => F[A])(implicit F: Functor[F]): Cofree[F, A] =
+    Cofree[F, A](a, Eval.later(F.map(f(a))(unfold(_)(f))))
+
+}
+
+sealed abstract class CofreeInstances2 {
+  /** low priority `Reducible` instance */
+  implicit def catsReducibleForCofree[F[_] : Foldable]: Reducible[Cofree[F, ?]] =
+  new CofreeReducible[F] {
+    def F = implicitly
+  }
+}
+
+sealed abstract class CofreeInstances1 extends CofreeInstances2 {
+  /** low priority `Traverse` instance */
+  implicit def catsTraverseForCofree[F[_] : Traverse]: Traverse[Cofree[F, ?]] =
+  new CofreeTraverse[F] {
+    def F = implicitly
+  }
+}
+
+sealed abstract class CofreeInstances extends CofreeInstances1 {
+  implicit def catsFreeComonadForCofree[S[_] : Functor]: Comonad[Cofree[S, ?]] = new CofreeComonad[S] {
+    def F = implicitly
+  }
+}
+
+private trait CofreeComonad[S[_]] extends Comonad[Cofree[S, ?]] {
+  implicit def F: Functor[S]
+
+  override final def extract[A](p: Cofree[S, A]): A = p.extract
+
+  override final def coflatMap[A, B](a: Cofree[S, A])(f: Cofree[S, A] => B): Cofree[S, B] = a.coflatMap(f)
+
+  override final def coflatten[A](a: Cofree[S, A]): Cofree[S, Cofree[S, A]] = a.coflatten
+
+  override final def map[A, B](a: Cofree[S, A])(f: A => B): Cofree[S, B] = a.map(f)
+}
+
+private trait CofreeReducible[F[_]] extends Reducible[Cofree[F, ?]] {
+  implicit def F: Foldable[F]
+
+  override final def foldMap[A, B](fa: Cofree[F, A])(f: A => B)(implicit M: Monoid[B]): B =
+    M.combine(f(fa.head), F.foldMap(fa.tailForced)(foldMap(_)(f)))
+
+  override final def foldRight[A, B](fa: Cofree[F, A], z: Eval[B])(f: (A, Eval[B]) => Eval[B]): Eval[B] =
+    f(fa.head, fa.tailEval.flatMap(F.foldRight(_, z)(foldRight(_, _)(f))))
+
+  override final def foldLeft[A, B](fa: Cofree[F, A], z: B)(f: (B, A) => B): B =
+    F.foldLeft(fa.tailForced, f(z, fa.head))((b, cof) => foldLeft(cof, b)(f))
+
+  override final def reduceLeftTo[A, B](fa: Cofree[F, A])(z: A => B)(f: (B, A) => B): B =
+    F.foldLeft(fa.tailForced, z(fa.head))((b, cof) => foldLeft(cof, b)(f))
+
+  override def reduceRightTo[A, B](fa: Cofree[F, A])(z: A => B)(f: (A, Eval[B]) => Eval[B]): Eval[B] = {
+    foldRight(fa, Eval.now((None: Option[B]))) {
+      case (l, e) => e.flatMap {
+        case None => Eval.now(Some(z(l)))
+        case Some(r) => f(l, Eval.now(r)).map(Some(_))
+      }
+    }.map(_.getOrElse(sys.error("reduceRightTo")))
+  }
+
+}
+
+private trait CofreeTraverse[F[_]] extends Traverse[Cofree[F, ?]] with CofreeReducible[F] with CofreeComonad[F] {
+  implicit def F: Traverse[F]
+
+  override final def traverse[G[_], A, B](fa: Cofree[F, A])(f: A => G[B])(implicit G: Applicative[G]): G[Cofree[F, B]] =
+    G.map2(f(fa.head), F.traverse(fa.tailForced)(traverse(_)(f)))((h, t) => Cofree[F, B](h, Eval.now(t)))
+
+}
+
diff --git a/free/src/test/scala/cats/free/CofreeTests.scala b/free/src/test/scala/cats/free/CofreeTests.scala
new file mode 100644
index 00000000000..40ab081a119
--- /dev/null
+++ b/free/src/test/scala/cats/free/CofreeTests.scala
@@ -0,0 +1,81 @@
+package cats
+package free
+
+import cats.data.NonEmptyList
+import cats.tests.CatsSuite
+import cats.laws.discipline.{CartesianTests, ComonadTests, ReducibleTests, SerializableTests, TraverseTests}
+import cats.syntax.list._
+import org.scalacheck.{Arbitrary, Cogen, Gen}
+
+class CofreeTests extends CatsSuite {
+
+  import CofreeTests._
+
+  implicit val iso = CartesianTests.Isomorphisms.invariant[Cofree[Option, ?]]
+
+  checkAll("Cofree[Option, ?]", ComonadTests[Cofree[Option, ?]].comonad[Int, Int, Int])
+  locally {
+    implicit val instance = Cofree.catsTraverseForCofree[Option]
+    checkAll("Cofree[Option, ?]", TraverseTests[Cofree[Option, ?]].traverse[Int, Int, Int, Int, Option, Option])
+    checkAll("Traverse[Cofree[Option, ?]]", SerializableTests.serializable(Traverse[Cofree[Option, ?]]))
+  }
+  locally {
+    implicit val instance = Cofree.catsReducibleForCofree[Option]
+    checkAll("Cofree[Option, ?]", ReducibleTests[Cofree[Option, ?]].reducible[Option, Int, Int])
+    checkAll("Reducible[Cofree[Option, ?]]", SerializableTests.serializable(Reducible[Cofree[Option, ?]]))
+  }
+  checkAll("Comonad[Cofree[Option, ?]]", SerializableTests.serializable(Comonad[Cofree[Option, ?]]))
+
+  test("Cofree.unfold") {
+    val unfoldedHundred: CofreeNel[Int] = Cofree.unfold[Option, Int](1)(i => if (i == 100) None else Some(i + 1))
+    val nelUnfoldedHundred: NonEmptyList[Int] = NonEmptyList.fromListUnsafe(List.tabulate(99)(identity))
+    cofNelToNel(unfoldedHundred) === nelUnfoldedHundred
+  }
+
+}
+
+object CofreeTests extends CofreeTestsInstances
+
+sealed trait CofreeTestsInstances {
+
+  type CofreeNel[A] = Cofree[Option, A]
+
+  implicit def cofNelEq[A](implicit e: Eq[A]): Eq[CofreeNel[A]] = new Eq[CofreeNel[A]] {
+    override def eqv(a: CofreeNel[A], b: CofreeNel[A]): Boolean = {
+      def tr(a: CofreeNel[A], b: CofreeNel[A]): Boolean =
+        (a.tailForced, b.tailForced) match {
+          case (Some(at), Some(bt)) if e.eqv(a.head, b.head) => tr(at, bt)
+          case (None, None) if e.eqv(a.head, b.head) => true
+          case _ => false
+        }
+      tr(a, b)
+    }
+  }
+
+
+  implicit def CofreeOptionCogen[A: Cogen]: Cogen[CofreeNel[A]] =
+    implicitly[Cogen[List[A]]].contramap[CofreeNel[A]](cofNelToNel(_).toList)
+
+  implicit def CofreeOptionArb[A: Arbitrary]: Arbitrary[CofreeNel[A]] = {
+    val arb = Arbitrary {
+      Gen.resize(20, Gen.nonEmptyListOf(implicitly[Arbitrary[A]].arbitrary))
+    }
+    Arbitrary {
+      arb.arbitrary.map(l => (l.head, l.tail) match {
+        case (h, Nil) => nelToCofNel(NonEmptyList(h, Nil))
+        case (h, t) => nelToCofNel(NonEmptyList(h, t))
+      })
+    }
+  }
+
+  val nelToCofNel = new (NonEmptyList ~> CofreeNel) {
+    override def apply[A](fa: NonEmptyList[A]): CofreeNel[A] =
+      Cofree[Option, A](fa.head, Eval.later(fa.tail.toNel.map(apply)))
+  }
+
+  val cofNelToNel = new (CofreeNel ~> NonEmptyList) {
+    override def apply[A](fa: CofreeNel[A]): NonEmptyList[A] =
+      NonEmptyList[A](fa.head, fa.tailForced.fold[List[A]](Nil)(apply(_).toList))
+  }
+
+}