localnet — BSV Regtest + ARC Development Stack

Local Bitcoin SV regtest network with ARC transaction processor for Monocelo e2e testing.

Quick Start

./scripts/setup.sh

This clones the ARC repository, builds the Docker image, starts all services, and mines 101 blocks to mature coinbase rewards.

Prerequisites

• Docker & Docker Compose v2
• Git
• ~4 GB RAM available for containers

Services

Service	Host Port	Purpose
node1 (BSV)	18332 (RPC), 18333 (P2P), 28332 (ZMQ)	Primary regtest node / miner
node2 (BSV)	—	Secondary peer
ARC API	9090 (HTTP), 8033 (gRPC)	Transaction broadcast & status
PostgreSQL	15432	ARC databases
NATS	4222, 4223	Message queue
Redis	6379	Cache

Monocelo Configuration

Point Monocelo at localnet with these properties:

# ARC
monocelo.arc.base-url=http://localhost:9090
monocelo.arc.api-key=

# P2P header sync
monocelo.p2p.enabled=true
monocelo.p2p.network=REGTEST
monocelo.p2p.seed-peers=localhost:18333
monocelo.p2p.min-peers=1

Scripts

Script	Usage
scripts/setup.sh	Full bootstrap (clone, build, start, mine)
scripts/mine.sh [count] [address]	Mine regtest blocks
scripts/fund.sh <address> [amount]	Send BSV to an address

Common Operations

# Tail ARC logs
docker compose logs -f api

# Check ARC health
curl http://localhost:9090/v1/health

# Query blockchain
docker exec localnet-node1 /entrypoint.sh bitcoin-cli getblockchaininfo

# Stop everything
docker compose down

# Stop and wipe all data
docker compose down -v

Architecture

Host (Monocelo)
  │
  ├── P2P :18333 ──► node1 ◄──► node2
  │
  └── HTTP :9090 ──► ARC API ──► Metamorph ──► BlockTx
                                     │              │
                                     ▼              ▼
                                 Callbacker     PostgreSQL
                                     │
                                    NATS

Bitcoin nodes run in regtest mode with genesis activation at height 1. ARC monitors both nodes via P2P and ZMQ, processes transactions, and tracks their lifecycle through to block confirmation.