During sleep, our memories are reactivated and consolidated in an active process that significantly influences our memory and decision-making. In this talk, I will present two studies about sleep-memory consolidation. The first study investigated sleep memory consolidation's local versus global properties within the brain. By exploiting the unique functional neuroanatomy of olfactory system, we were able to manipulate sleep oscillations and enhance memories locally within a single hemisphere during sleep. These findings underscore the local nature of sleep memory consolidation, which can be selectively manipulated within the brain, thereby creating an important link between theories of local sleep and learning. The second research explored the relationship between generalization processes and sleep, acknowledging that overgeneralization of negative stimuli and disruptions in sleep quality contribute to anxiety and PTSD disorders. Specifically, we studied participants' responses to stimuli associated with positive, negative, or neutral outcomes. Our findings revealed significant correlations between brain activity, as detected by fMRI, during the association of a stimulus with an outcome and the perceptual generalization of these stimuli. While activity in limbic brain areas was correlated with immediate negative stimulus generalization, we observed that the activation in these areas predicted recovery and positively related generalization following sleep. Moreover, we identified specific sleep oscillations correlated with this recovery generalization using high-density EEG recordings. These results highlight the crucial role of sleep in both generalization processes and the restoration of balanced responses to stimuli. Understanding these mechanisms can offer valuable insights into developing therapeutic strategies for anxiety and PTSD.