DarkFi x Monero Merge Mining using p2pool and xmrig

This document provides a way to set up a Monero testnet that is able to merge-mine DarkFi using p2pool and xmrig.

Please read the whole document first before executing commands, to understand all the steps required and how each component operates. Unless instructed otherwise, each daemon runs on its own shell, so don't stop a running one to start another.

Each command to execute will be inside a codeblock, on its first line, marked by the user $ symbol, followed by the expected output. For longer command outputs, some lines will be emmited to keep the guide simple.

Build binaries from source

We can build Monero, p2pool and xmrig from their respective source code repositories. Make sure you are not in the DarkFi repository folder as we are going to retrieve external repos.

Monero

First install its dependencies and then retrieve its repo and checkout the latest release tag:

$ git clone --recursive https://github.com/monero-project/monero
$ cd monero
$ git checkout $(git describe --tags "$(git rev-list --tags --max-count=1)")
$ git submodule update --init

Now we can build it:

$ make -j$(nproc)

...
make[1]: Leaving directory '/home/anon/monero/build/Linux/_HEAD_detached_at_v0.18.4.4_/release'

Navigate to the directory listed at the end of build command where the compiled binaries exist:

$ cd build/Linux/_HEAD_detached_at_v0.18.4.4_/release
$ cd bin

The path might look different in your system depending on your OS and latest tag.

p2pool

Enter a new shell outside of previously build Monero repo folder, install p2pool dependencies and then retrieve its repo and checkout the latest release tag:

$ git clone --recursive https://github.com/SChernykh/p2pool
$ cd p2pool
$ git checkout $(git describe --tags "$(git rev-list --tags --max-count=1)")
$ git submodule update --init

Now we can build it:

$ mkdir build

If you have already build p2pool above command will fail as folder already exists, so just continue to next ones:

$ cd build
$ cmake ..
$ make -j$(nproc)

The binary now exists in the current directory.

xmrig

Enter a new shell outside of previously build p2pool repo folder, install xmrig dependencies and then retrieve its repo and checkout the latest release tag:

$ git clone --recursive https://github.com/xmrig/xmrig
$ cd xmrig
$ git checkout $(git describe --tags "$(git rev-list --tags --max-count=1)")

Now we can build it:

$ mkdir build

If you have already build xmrig above command will fail as folder already exists, so just continue to next ones:

$ cd build
$ cmake ..
$ make -j$(nproc)

The binary now exists in the current directory.

Monero setup

We should first sync the Monero Testnet locally. We can simply do this by returning back to our Monero shell, starting up monerod and waiting for the sync to finish:

$ ./monerod --testnet --no-igd --data-dir bitmonero --log-level 0 --hide-my-port --add-peer 125.229.105.12:28081 --add-peer 37.187.74.171:28089 --fast-block-sync=1

2025-05-22 13:04:16.492 I Synced 3601/2754128 (0%, 2750527 left)
2025-05-22 13:04:27.315 I Synced 5801/2754128 (0%, 2748327 left)
...
2025-05-22 13:04:38.705 I Synced 8101/2754128 (0%, 2746027 left)
2025-05-22 13:04:44.676 I Synced 9301/2754128 (0%, 2744827 left)
2025-05-22 13:04:47.174 I Synced 9801/2754128 (0%, 2744327 left)

After the sync is finished, we will take the node offline and continue our work locally. So quit the monerod node, and restart it offline with fixed difficulty that will make our mining process faster:

$ ./monerod --testnet --no-igd --data-dir bitmonero --log-level 1 --hide-my-port --fixed-difficulty 20000 --disable-rpc-ban --offline --zmq-pub tcp://127.0.0.1:28083

Now we should also create a Monero wallet. On a new shell in the same directory run monero-wallet-cli and follow the wizard to create a wallet:

$ ./monero-wallet-cli --testnet --trusted-daemon

Generated new wallet: 9zMU...uQA4
View key: xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
**********************************************************************
Your wallet has been generated!

Now we have our Monero address that we can use with p2pool to receive mining rewards.

p2pool setup without merge-mining

First we'll start p2pool without merge-mining to make sure everything works in order. After we get xmrig set up, we'll restart p2pool with merge-mining enabled.

p2pool connects to monerod's JSONRPC and ZMQ Pub ports in order to retrieve necessary mining data. It also provides a Stratum mining endpoint that xmrig is able to connect to in order to receive mining jobs and actually mine the proposed blocks.

We can start p2pool with the following command:

$ ./p2pool --host 127.0.0.1 --rpc-port 28081 --zmq-port 28083 --wallet {YOUR_MONERO_WALLET_ADDRESS_HERE} --stratum 127.0.0.1:3333 --data-dir ./p2pool-data --no-igd

Once started, it should connect to monerod and retrieve the latest blockchain info. Now we can proceed with xmrig to try and mine some blocks.

xmrig setup

xmrig is pretty simple. Just start it with a chosen number of threads and point it to p2pool Stratum port. -u x+1 20000 is defined by the --fixed-difficulty setting we started monerod with. -t 1 is the number of CPU threads to use for mining. With a low difficulty, one thread should be enough.

$ ./xmrig -u x+1 20000 -o 127.0.0.1:3333 -t 1

Now we should see blocks being mined in p2pool and submitted to our Monero testnet. To stop mining you can ^C xmrig anytime to quit it or press p to pause mining.

p2pool setup with merge-mining

Now that everything is in order, we can use p2pool with merge-mining enabled in order to merge mine DarkFi. For receiving mining rewards on DarkFi, we'll need a DarkFi wallet address so make sure you have initialized your wallet and grab your first address configuration:

drk> wallet mining-configuration 1

DarkFi TOML configuration:
recipient = "{YOUR_DARKFI_WALLET_ADDRESS}"
#spend_hook = ""
#user_data = ""

P2Pool wallet address to use:
{YOUR_P2POOL_WALLET_ADDRESS_CONFIGURATION}

We will also need darkfid running. Make sure you enable the RPC endpoint that will be used by p2pool in darkfid's config:

[network_config."testnet".mm_rpc]
rpc_listen = "http+tcp://127.0.0.1:8341"

Then start darkfid as usual.

Stop p2pool if it's running, and re-run it with the merge-mining parameters appended:

$ ./p2pool --host 127.0.0.1 --rpc-port 28081 --zmq-port 28083 --wallet {YOUR_MONERO_WALLET_ADDRESS_HERE} --stratum 127.0.0.1:3333 --data-dir ./p2pool-data --no-igd --merge-mine 127.0.0.1:8341 {YOUR_P2POOL_WALLET_ADDRESS_CONFIGURATION_HERE}

Now p2pool should communicate with both monerod and darkfid in order to pick up Monero blocktemplates and inject them with DarkFi data necessary for merge-mining verification on the DarkFi side. Re-run xmrig and now we should be mining blocks again. Once blocks are found, they will be submitted to both monerod and darkfid and darkfid should verify them and release block rewards to the address provided to p2pool merge-mine parameters.

Happy mining!

Merge mining for a DAO

To retrieve a DAO merge mining configuration, execute:

drk> dao mining-config {YOUR_DAO}

DarkFi TOML configuration:
recipient = "{YOUR_DAO_NOTES_PUBLIC_KEY}"
spend_hook = "{DAO_CONTRACT_SPEND_HOOK}"
user_data = "{YOUR_DAO_BULLA}"

P2Pool wallet address to use:
{YOUR_DAO_P2POOL_WALLET_ADDRESS_CONFIGURATION}

Stop p2pool if it's running, and re-run it with the merge-mining parameters appended:

$ ./p2pool --host 127.0.0.1 --rpc-port 28081 --zmq-port 28083 --wallet {YOUR_DAO_MONERO_WALLET_ADDRESS_HERE} --stratum 127.0.0.1:3333 --data-dir ./p2pool-data --no-igd --merge-mine 127.0.0.1:8341 {YOUR_DAO_P2POOL_WALLET_ADDRESS_CONFIGURATION}

After your miners have successfully mined confirmed blocks, you will see the DAO DRK balance increasing:

drk> dao balance {YOUR_DAO}

 Token ID                                     | Aliases | Balance
----------------------------------------------+---------+---------
 241vANigf1Cy3ytjM1KHXiVECxgxdK4yApddL8KcLssb | DRK     | 80

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