diff --git a/blockmanager.go b/blockmanager.go
index cc2ffa3e..71331437 100644
--- a/blockmanager.go
+++ b/blockmanager.go
@@ -98,6 +98,30 @@ type calcNextReqDifficultyMsg struct {
 	reply     chan calcNextReqDifficultyResponse
 }
 
+// processBlockResponse is a response sent to the reply channel of a
+// processBlockMsg.
+type processBlockResponse struct {
+	isOrphan bool
+	err      error
+}
+
+// processBlockMsg is a message type to be sent across the message channel
+// for requested a block is processed.  Note this call differs from blockMsg
+// above in that blockMsg is intended for blocks that can from peers and have
+// extra handling whereas this message essentially is just a concurrent safe
+// way to call ProcessBlock on the internal block chain instance.
+type processBlockMsg struct {
+	block *btcutil.Block
+	reply chan processBlockResponse
+}
+
+// isCurrentMsg is a message type to be sent across the message channel for
+// requesting whether or not the block manager believes it is synced with
+// the currently connected peers.
+type isCurrentMsg struct {
+	reply chan bool
+}
+
 // headerNode is used as a node in a list of headers that are linked together
 // between checkpoints.
 type headerNode struct {
@@ -119,6 +143,17 @@ type chainState struct {
 	pastMedianTimeErr error
 }
 
+// Best returns the block hash and height known for the tip of the best known
+// chain.
+//
+// This function is safe for concurrent access.
+func (c *chainState) Best() (*btcwire.ShaHash, int64) {
+	c.Lock()
+	defer c.Unlock()
+
+	return c.newestHash, c.newestHeight
+}
+
 // blockManager provides a concurrency safe block manager for handling all
 // incoming blocks.
 type blockManager struct {
@@ -983,6 +1018,26 @@ out:
 					difficulty: difficulty,
 					err:        err,
 				}
+
+			case processBlockMsg:
+				err := b.blockChain.ProcessBlock(msg.block, false)
+				if err != nil {
+					msg.reply <- processBlockResponse{
+						isOrphan: false,
+						err:      err,
+					}
+				}
+
+				blockSha, _ := msg.block.Sha()
+				msg.reply <- processBlockResponse{
+					isOrphan: b.blockChain.IsKnownOrphan(
+						blockSha),
+					err: nil,
+				}
+
+			case isCurrentMsg:
+				msg.reply <- b.current()
+
 			default:
 				bmgrLog.Warnf("Invalid message type in block "+
 					"handler: %T", msg)
@@ -1224,6 +1279,24 @@ func (b *blockManager) CalcNextRequiredDifficulty(timestamp time.Time) (uint32,
 	return response.difficulty, response.err
 }
 
+// ProcessBlock makes use of ProcessBlock on an internal instance of a block
+// chain.  It is funneled through the block manager since btcchain is not safe
+// for concurrent access.
+func (b *blockManager) ProcessBlock(block *btcutil.Block) (bool, error) {
+	reply := make(chan processBlockResponse)
+	b.msgChan <- processBlockMsg{block: block, reply: reply}
+	response := <-reply
+	return response.isOrphan, response.err
+}
+
+// IsCurrent returns whether or not the block manager believes it is synced with
+// the connected peers.
+func (b *blockManager) IsCurrent() bool {
+	reply := make(chan bool)
+	b.msgChan <- isCurrentMsg{reply: reply}
+	return <-reply
+}
+
 // newBlockManager returns a new bitcoin block manager.
 // Use Start to begin processing asynchronous block and inv updates.
 func newBlockManager(s *server) (*blockManager, error) {
diff --git a/config.go b/config.go
index 21913721..b5b2b46b 100644
--- a/config.go
+++ b/config.go
@@ -103,10 +103,12 @@ type config struct {
 	BlockMinSize       uint32        `long:"blockminsize" description:"Mininum block size in bytes to be used when creating a block"`
 	BlockMaxSize       uint32        `long:"blockmaxsize" description:"Maximum block size in bytes to be used when creating a block"`
 	BlockPrioritySize  uint32        `long:"blockprioritysize" description:"Size in bytes for high-priority/low-fee transactions when creating a block"`
+	GetWorkKeys        []string      `long:"getworkkey" description:"Use the specified payment address for blocks generated by getwork."`
 	onionlookup        func(string) ([]net.IP, error)
 	lookup             func(string) ([]net.IP, error)
 	oniondial          func(string, string) (net.Conn, error)
 	dial               func(string, string) (net.Conn, error)
+	miningKeys         []btcutil.Address
 }
 
 // serviceOptions defines the configuration options for btcd as a service on
@@ -521,6 +523,27 @@ func loadConfig() (*config, []string, error) {
 	cfg.BlockPrioritySize = minUint32(cfg.BlockPrioritySize, cfg.BlockMaxSize)
 	cfg.BlockMinSize = minUint32(cfg.BlockMinSize, cfg.BlockMaxSize)
 
+	// Check keys are valid and saved parsed versions.
+	cfg.miningKeys = make([]btcutil.Address, 0, len(cfg.GetWorkKeys))
+	for _, strAddr := range cfg.GetWorkKeys {
+		addr, err := btcutil.DecodeAddress(strAddr, activeNetParams.btcnet)
+		if err != nil {
+			str := "%s: the specified getworkkey '%s' failed to decode: %v"
+			err := fmt.Errorf(str, "loadConfig", strAddr, err)
+			fmt.Fprintln(os.Stderr, err)
+			parser.WriteHelp(os.Stderr)
+			return nil, nil, err
+		}
+		if !addr.IsForNet(activeNetParams.btcnet) {
+			str := "%s: the specified getworkkey '%s' is on the wrong network"
+			err := fmt.Errorf(str, "loadConfig", strAddr)
+			fmt.Fprintln(os.Stderr, err)
+			parser.WriteHelp(os.Stderr)
+			return nil, nil, err
+		}
+		cfg.miningKeys = append(cfg.miningKeys, addr)
+	}
+
 	// Add default port to all listener addresses if needed and remove
 	// duplicate addresses.
 	cfg.Listeners = normalizeAddresses(cfg.Listeners,
diff --git a/doc.go b/doc.go
index 7f4fd5de..f8cb6c6c 100644
--- a/doc.go
+++ b/doc.go
@@ -77,6 +77,15 @@ Application Options:
       --limitfreerelay=    Limit relay of transactions with no transaction fee
                            to the given amount in thousands of bytes per minute
                            (15)
+      --blockminsize=      Mininum block size in bytes to be used when creating
+                           a block
+      --blockmaxsize=      Maximum block size in bytes to be used when creating
+                           a block (750000)
+      --blockprioritysize= Size in bytes for high-priority/low-fee transactions
+                           when creating a block (50000)
+      --getworkkey=        Use the specified hex-encoded serialized public keys
+                           as the payment address for blocks generated by
+                           getwork.
 
 Help Options:
   -h, --help           Show this help message
diff --git a/mempool.go b/mempool.go
index 809f028f..e39f6bee 100644
--- a/mempool.go
+++ b/mempool.go
@@ -92,8 +92,9 @@ type txMemPool struct {
 	orphans       map[btcwire.ShaHash]*btcutil.Tx
 	orphansByPrev map[btcwire.ShaHash]*list.List
 	outpoints     map[btcwire.OutPoint]*btcutil.Tx
-	pennyTotal    float64 // exponentially decaying total for penny spends.
-	lastPennyUnix int64   // unix time of last ``penny spend''
+	lastUpdated   time.Time // last time pool was updated
+	pennyTotal    float64   // exponentially decaying total for penny spends.
+	lastPennyUnix int64     // unix time of last ``penny spend''
 }
 
 // isDust returns whether or not the passed transaction output amount is
@@ -602,6 +603,7 @@ func (mp *txMemPool) removeTransaction(tx *btcutil.Tx) {
 			delete(mp.outpoints, txIn.PreviousOutpoint)
 		}
 		delete(mp.pool, *txHash)
+		mp.lastUpdated = time.Now()
 	}
 }
 
@@ -655,6 +657,7 @@ func (mp *txMemPool) addTransaction(tx *btcutil.Tx, height, fee int64) {
 	for _, txIn := range tx.MsgTx().TxIn {
 		mp.outpoints[txIn.PreviousOutpoint] = tx
 	}
+	mp.lastUpdated = time.Now()
 }
 
 // checkPoolDoubleSpend checks whether or not the passed transaction is
@@ -1073,6 +1076,17 @@ func (mp *txMemPool) TxDescs() []*TxDesc {
 	return descs
 }
 
+// LastUpdated returns the last time a transaction was added to or removed from
+// the main pool.  It does not include the orphan pool.
+//
+// This function is safe for concurrent access.
+func (mp *txMemPool) LastUpdated() time.Time {
+	mp.RLock()
+	defer mp.RUnlock()
+
+	return mp.lastUpdated
+}
+
 // newTxMemPool returns a new memory pool for validating and storing standalone
 // transactions until they are mined into a block.
 func newTxMemPool(server *server) *txMemPool {
diff --git a/mining.go b/mining.go
index 825d1108..d33c1a49 100644
--- a/mining.go
+++ b/mining.go
@@ -7,6 +7,7 @@ package main
 import (
 	"container/heap"
 	"container/list"
+	"fmt"
 	"github.com/conformal/btcchain"
 	"github.com/conformal/btcdb"
 	"github.com/conformal/btcscript"
@@ -769,3 +770,59 @@ mempoolLoop:
 		sigOpCounts: txSigOpCounts,
 	}, nil
 }
+
+// UpdateBlockTime updates the timestamp in the header of the passed block to
+// the current time while taking into account the median time of the last
+// several blocks to ensure the new time is after that time per the chain
+// consensus rules.  Finally, it will update the target difficulty if needed
+// based on the new time for the test networks since their target difficulty can
+// change based upon time.
+func UpdateBlockTime(msgBlock *btcwire.MsgBlock, bManager *blockManager) error {
+	// The new timestamp is potentially adjusted to ensure it comes after
+	// the median time of the last several blocks per the chain consensus
+	// rules.
+	newTimestamp, err := medianAdjustedTime(&bManager.chainState)
+	if err != nil {
+		return err
+	}
+	msgBlock.Header.Timestamp = newTimestamp
+
+	// Recalculate the required difficulty for the test networks since it
+	// can change based on time.
+	if activeNetParams.btcnet == btcwire.TestNet ||
+		activeNetParams.btcnet == btcwire.TestNet3 {
+
+		difficulty, err := bManager.CalcNextRequiredDifficulty(newTimestamp)
+		if err != nil {
+			return err
+		}
+		msgBlock.Header.Bits = difficulty
+	}
+
+	return nil
+}
+
+// UpdateExtraNonce updates the extra nonce in the coinbase script of the passed
+// block by regenerating the coinbase script with the passed value and block
+// height.  It also recalculates and updates the new merkle root the results
+// from changing the coinbase script.
+func UpdateExtraNonce(msgBlock *btcwire.MsgBlock, blockHeight int64, extraNonce uint64) error {
+	coinbaseScript := standardCoinbaseScript(blockHeight, extraNonce)
+	if len(coinbaseScript) > btcchain.MaxCoinbaseScriptLen {
+		return fmt.Errorf("coinbase transaction script length "+
+			"of %d is out of range (min: %d, max: %d)",
+			len(coinbaseScript), btcchain.MinCoinbaseScriptLen,
+			btcchain.MaxCoinbaseScriptLen)
+	}
+	msgBlock.Transactions[0].TxIn[0].SignatureScript = coinbaseScript
+
+	// TODO(davec): A btcutil.Block should use saved in the state to avoid
+	// recalculating all of the other transaction hashes.
+	// block.Transactions[0].InvalidateCache()
+
+	// Recalculate the merkle root with the updated extra nonce.
+	block := btcutil.NewBlock(msgBlock)
+	merkles := btcchain.BuildMerkleTreeStore(block.Transactions())
+	msgBlock.Header.MerkleRoot = *merkles[len(merkles)-1]
+	return nil
+}
diff --git a/rpcserver.go b/rpcserver.go
index 8d4d9994..c1dcf3d0 100644
--- a/rpcserver.go
+++ b/rpcserver.go
@@ -10,6 +10,7 @@ import (
 	"crypto/subtle"
 	"crypto/tls"
 	"encoding/base64"
+	"encoding/binary"
 	"encoding/hex"
 	"errors"
 	"fmt"
@@ -22,6 +23,7 @@ import (
 	"github.com/conformal/fastsha256"
 	"io/ioutil"
 	"math/big"
+	"math/rand"
 	"net"
 	"net/http"
 	"os"
@@ -31,9 +33,33 @@ import (
 	"time"
 )
 
-// rpcAuthTimeoutSeconds is the number of seconds a connection to the RPC server
-// is allowed to stay open without authenticating before it is closed.
-const rpcAuthTimeoutSeconds = 10
+const (
+	// rpcAuthTimeoutSeconds is the number of seconds a connection to the
+	// RPC server is allowed to stay open without authenticating before it
+	// is closed.
+	rpcAuthTimeoutSeconds = 10
+
+	// uint256Size is the number of bytes needed to represent an unsigned
+	// 256-bit integer.
+	uint256Size = 32
+
+	// getworkDataLen is the length of the data field of the getwork RPC.
+	// It consists of the serialized block header plus the internal sha256
+	// padding.  The internal sha256 padding consists of a single 1 bit
+	// followed by enough zeros to pad the message out to 56 bytes followed
+	// by length of the message in bits encoded as a big-endian uint64
+	// (8 bytes).  Thus, the resulting length is a multiple of the sha256
+	// block size (64 bytes).
+	getworkDataLen = (1 + ((btcwire.MaxBlockHeaderPayload + 8) /
+		fastsha256.BlockSize)) * fastsha256.BlockSize
+
+	// hash1Len is the length of the hash1 field of the getwork RPC.  It
+	// consists of a zero hash plus the internal sha256 padding.  See
+	// the getworkDataLen comment for details about the internal sha256
+	// padding format.
+	hash1Len = (1 + ((btcwire.HashSize + 8) / fastsha256.BlockSize)) *
+		fastsha256.BlockSize
+)
 
 // Errors
 var (
@@ -69,6 +95,7 @@ var rpcHandlersBeforeInit = map[string]commandHandler{
 	"getpeerinfo":          handleGetPeerInfo,
 	"getrawmempool":        handleGetRawMempool,
 	"getrawtransaction":    handleGetRawTransaction,
+	"getwork":              handleGetWork,
 	"help":                 handleHelp,
 	"ping":                 handlePing,
 	"sendrawtransaction":   handleSendRawTransaction,
@@ -105,7 +132,6 @@ var rpcAskWallet = map[string]bool{
 	"gettransaction":         true,
 	"gettxout":               true,
 	"gettxoutsetinfo":        true,
-	"getwork":                true,
 	"importprivkey":          true,
 	"importwallet":           true,
 	"keypoolrefill":          true,
@@ -138,6 +164,33 @@ var rpcUnimplemented = map[string]bool{
 	"getmininginfo": true,
 }
 
+// workStateBlockInfo houses information about how to reconstruct a block given
+// its template and signature script.
+type workStateBlockInfo struct {
+	msgBlock        *btcwire.MsgBlock
+	signatureScript []byte
+}
+
+// workState houses state that is used in between multiple RPC invocations to
+// getwork.
+type workState struct {
+	sync.Mutex
+	lastTxUpdate  time.Time
+	lastGenerated time.Time
+	prevHash      *btcwire.ShaHash
+	msgBlock      *btcwire.MsgBlock
+	extraNonce    uint64
+	blockInfo     map[btcwire.ShaHash]*workStateBlockInfo
+}
+
+// newWorkState returns a new instance of a workState with all internal fields
+// initialized and ready to use.
+func newWorkState() *workState {
+	return &workState{
+		blockInfo: make(map[btcwire.ShaHash]*workStateBlockInfo),
+	}
+}
+
 // rpcServer holds the items the rpc server may need to access (config,
 // shutdown, main server, etc.)
 type rpcServer struct {
@@ -150,6 +203,7 @@ type rpcServer struct {
 	numClientsMutex sync.Mutex
 	wg              sync.WaitGroup
 	listeners       []net.Listener
+	workState       *workState
 	quit            chan int
 }
 
@@ -337,9 +391,10 @@ func newRPCServer(listenAddrs []string, s *server) (*rpcServer, error) {
 	login := cfg.RPCUser + ":" + cfg.RPCPass
 	auth := "Basic " + base64.StdEncoding.EncodeToString([]byte(login))
 	rpc := rpcServer{
-		authsha: fastsha256.Sum256([]byte(auth)),
-		server:  s,
-		quit:    make(chan int),
+		authsha:   fastsha256.Sum256([]byte(auth)),
+		server:    s,
+		workState: newWorkState(),
+		quit:      make(chan int),
 	}
 	rpc.ntfnMgr = newWsNotificationManager(&rpc)
 
@@ -667,6 +722,46 @@ func createVoutList(mtx *btcwire.MsgTx, net btcwire.BitcoinNet) ([]btcjson.Vout,
 	return voutList, nil
 }
 
+// createTxRawResult converts the passed transaction and associated parameters
+// to a raw transaction JSON object.
+func createTxRawResult(net btcwire.BitcoinNet, txSha string, mtx *btcwire.MsgTx, blk *btcutil.Block, maxidx int64, blksha *btcwire.ShaHash) (*btcjson.TxRawResult, error) {
+	mtxHex, err := messageToHex(mtx)
+	if err != nil {
+		return nil, err
+	}
+
+	vin, err := createVinList(mtx)
+	if err != nil {
+		return nil, err
+	}
+	vout, err := createVoutList(mtx, net)
+	if err != nil {
+		return nil, err
+	}
+
+	txReply := &btcjson.TxRawResult{
+		Hex:      mtxHex,
+		Txid:     txSha,
+		Vout:     vout,
+		Vin:      vin,
+		Version:  mtx.Version,
+		LockTime: mtx.LockTime,
+	}
+
+	if blk != nil {
+		blockHeader := &blk.MsgBlock().Header
+		idx := blk.Height()
+
+		// This is not a typo, they are identical in bitcoind as well.
+		txReply.Time = blockHeader.Timestamp.Unix()
+		txReply.Blocktime = blockHeader.Timestamp.Unix()
+		txReply.BlockHash = blksha.String()
+		txReply.Confirmations = uint64(1 + maxidx - idx)
+	}
+
+	return txReply, nil
+}
+
 // handleDecodeRawTransaction handles decoderawtransaction commands.
 func handleDecodeRawTransaction(s *rpcServer, cmd btcjson.Cmd) (interface{}, error) {
 	c := cmd.(*btcjson.DecodeRawTransactionCmd)
@@ -1250,44 +1345,373 @@ func handleGetRawTransaction(s *rpcServer, cmd btcjson.Cmd) (interface{}, error)
 	return *rawTxn, nil
 }
 
-// createTxRawResult converts the passed transaction and associated parameters
-// to a raw transaction JSON object.
-func createTxRawResult(net btcwire.BitcoinNet, txSha string, mtx *btcwire.MsgTx, blk *btcutil.Block, maxidx int64, blksha *btcwire.ShaHash) (*btcjson.TxRawResult, error) {
-	mtxHex, err := messageToHex(mtx)
+// bigToLEUint256 returns the passed big integer as an unsigned 256-bit integer
+// encoded as little-endian bytes.  Numbers which are larger than the max
+// unsigned 256-bit integer are truncated.
+func bigToLEUint256(n *big.Int) [uint256Size]byte {
+	// Pad or truncate the big-endian big int to correct number of bytes.
+	nBytes := n.Bytes()
+	nlen := len(nBytes)
+	pad := 0
+	start := 0
+	if nlen <= uint256Size {
+		pad = uint256Size - nlen
+	} else {
+		start = nlen - uint256Size
+	}
+	var buf [uint256Size]byte
+	copy(buf[pad:], nBytes[start:])
+
+	// Reverse the bytes to little endian and return them.
+	for i := 0; i < uint256Size/2; i++ {
+		buf[i], buf[uint256Size-1-i] = buf[uint256Size-1-i], buf[i]
+	}
+	return buf
+}
+
+// reverseUint32Array treats the passed bytes as a series of uint32s and
+// reverses the byte order of each uint32.  The passed byte slice must be a
+// multiple of 4 for a correct result.  The passed bytes slice is modified.
+func reverseUint32Array(b []byte) {
+	blen := len(b)
+	for i := 0; i < blen; i += 4 {
+		b[i], b[i+3] = b[i+3], b[i]
+		b[i+1], b[i+2] = b[i+2], b[i+1]
+	}
+}
+
+// handleGetWorkRequest is a helper for handleGetWork which deals with
+// generating and returning work to the caller.
+//
+// This function MUST be called with the RPC workstate locked.
+func handleGetWorkRequest(s *rpcServer) (interface{}, error) {
+	state := s.workState
+
+	// Generate a new block template when the current best block has
+	// changed or the transactions in the memory pool have been updated
+	// and it has been at least one minute since the last template was
+	// generated.
+	lastTxUpdate := s.server.txMemPool.LastUpdated()
+	latestHash, latestHeight := s.server.blockManager.chainState.Best()
+	msgBlock := state.msgBlock
+	if msgBlock == nil || state.prevHash == nil ||
+		!state.prevHash.IsEqual(latestHash) ||
+		(state.lastTxUpdate != lastTxUpdate &&
+			time.Now().After(state.lastGenerated.Add(time.Minute))) {
+
+		// Reset the extra nonce and clear all cached template
+		// variations if the best block changed.
+		if state.prevHash != nil && !state.prevHash.IsEqual(latestHash) {
+			state.extraNonce = 0
+			state.blockInfo = make(map[btcwire.ShaHash]*workStateBlockInfo)
+		}
+
+		// Reset the previous best hash the block template was generated
+		// against so any errors below cause the next invocation to try
+		// again.
+		state.prevHash = nil
+
+		// Choose a payment address at random.
+		rand.Seed(time.Now().UnixNano())
+		payToAddr := cfg.miningKeys[rand.Intn(len(cfg.miningKeys))]
+
+		template, err := NewBlockTemplate(payToAddr, s.server.txMemPool)
+		if err != nil {
+			errStr := fmt.Sprintf("Failed to create new block "+
+				"template: %v", err)
+			rpcsLog.Errorf(errStr)
+			return nil, btcjson.Error{
+				Code:    btcjson.ErrInternal.Code,
+				Message: errStr,
+			}
+		}
+		msgBlock = template.block
+
+		// Update work state to ensure another block template isn't
+		// generated until needed.
+		state.msgBlock = msgBlock
+		state.lastGenerated = time.Now()
+		state.lastTxUpdate = lastTxUpdate
+		state.prevHash = latestHash
+
+		rpcsLog.Debugf("Generated block template (timestamp %v, extra "+
+			"nonce %d, target %064x, merkle root %s, signature "+
+			"script %x)", msgBlock.Header.Timestamp,
+			state.extraNonce,
+			btcchain.CompactToBig(msgBlock.Header.Bits),
+			msgBlock.Header.MerkleRoot,
+			msgBlock.Transactions[0].TxIn[0].SignatureScript)
+	} else {
+		// At this point, there is a saved block template and a new
+		// request for work was made, but either the available
+		// transactions haven't change or it hasn't been long enough to
+		// trigger a new block template to be generated.  So, update the
+		// existing block template and track the variations so each
+		// variation can be regenerated if a caller finds an answer and
+		// makes a submission against it.
+
+		// Update the time of the block template to the current time
+		// while accounting for the median time of the past several
+		// blocks per the chain consensus rules.
+		UpdateBlockTime(msgBlock, s.server.blockManager)
+
+		// Increment the extra nonce and update the block template
+		// with the new value by regenerating the coinbase script and
+		// setting the merkle root to the new value.
+		state.extraNonce++
+		err := UpdateExtraNonce(msgBlock, latestHeight+1, state.extraNonce)
+		if err != nil {
+			errStr := fmt.Sprintf("Failed to update extra nonce: "+
+				"%v", err)
+			rpcsLog.Warnf(errStr)
+			return nil, btcjson.Error{
+				Code:    btcjson.ErrInternal.Code,
+				Message: errStr,
+			}
+		}
+
+		rpcsLog.Debugf("Updated block template (timestamp %v, extra "+
+			"nonce %d, target %064x, merkle root %s, signature "+
+			"script %x)", msgBlock.Header.Timestamp,
+			state.extraNonce,
+			btcchain.CompactToBig(msgBlock.Header.Bits),
+			msgBlock.Header.MerkleRoot,
+			msgBlock.Transactions[0].TxIn[0].SignatureScript)
+	}
+
+	// In order to efficiently store the variations of block templates that
+	// have been provided to callers, save a pointer to the block as well as
+	// the modified signature script keyed by the merkle root.  This
+	// information, along with the data that is included in a work
+	// submission, is used to rebuild the block before checking the
+	// submitted solution.
+	coinbaseTx := msgBlock.Transactions[0]
+	state.blockInfo[msgBlock.Header.MerkleRoot] = &workStateBlockInfo{
+		msgBlock:        msgBlock,
+		signatureScript: coinbaseTx.TxIn[0].SignatureScript,
+	}
+
+	// Serialize the block header into a buffer large enough to hold the
+	// the block header and the internal sha256 padding that is added and
+	// retuned as part of the data below.
+	data := make([]byte, 0, getworkDataLen)
+	buf := bytes.NewBuffer(data)
+	err := msgBlock.Header.Serialize(buf)
 	if err != nil {
+		errStr := fmt.Sprintf("Failed to serialize data: %v", err)
+		rpcsLog.Warnf(errStr)
+		return nil, btcjson.Error{
+			Code:    btcjson.ErrInternal.Code,
+			Message: errStr,
+		}
 		return nil, err
 	}
 
-	vin, err := createVinList(mtx)
+	// Calculate the midstate for the block header.  The midstate here is
+	// the internal state of the sha256 algorithm for the first chunk of the
+	// block header (sha256 operates on 64-byte chunks) which is before the
+	// nonce.  This allows sophisticated callers to avoid hashing the first
+	// chunk over and over while iterating the nonce range.
+	data = data[:buf.Len()]
+	midstate := fastsha256.MidState256(data)
+
+	// Expand the data slice to include the full data buffer and apply the
+	// internal sha256 padding which consists of a single 1 bit followed
+	// by enough zeros to pad the message out to 56 bytes followed by the
+	// length of the message in bits encoded as a big-endian uint64
+	// (8 bytes).  Thus, the resulting length is a multiple of the sha256
+	// block size (64 bytes).  This makes the data ready for sophisticated
+	// caller to make use of only the second chunk along with the midstate
+	// for the first chunk.
+	data = data[:getworkDataLen]
+	data[btcwire.MaxBlockHeaderPayload] = 0x80
+	binary.BigEndian.PutUint64(data[len(data)-8:],
+		btcwire.MaxBlockHeaderPayload*8)
+
+	// Create the hash1 field which is a zero hash along with the internal
+	// sha256 padding as described above.  This field is really quite
+	// useless, but it is required for compatibility with the reference
+	// implementation.
+	var hash1 [hash1Len]byte
+	hash1[btcwire.HashSize] = 0x80
+	binary.BigEndian.PutUint64(hash1[len(hash1)-8:], btcwire.HashSize*8)
+
+	// The final result reverses the each of the fields to little endian.
+	// In particular, the data, hash1, and midstate fields are treated as
+	// arrays of uint32s (per the internal sha256 hashing state) which are
+	// in big endian, and thus each 4 bytes is byte swapped.  The target is
+	// also in big endian, but it is treated as a uint256 and byte swapped
+	// to little endian accordingly.
+	//
+	// The fact the fields are reversed in this way is rather odd and likey
+	// an artifact of some legacy internal state in the reference
+	// implementation, but it is required for compatibility.
+	reverseUint32Array(data)
+	reverseUint32Array(hash1[:])
+	reverseUint32Array(midstate[:])
+	target := bigToLEUint256(btcchain.CompactToBig(msgBlock.Header.Bits))
+	reply := &btcjson.GetWorkResult{
+		Data:     hex.EncodeToString(data),
+		Hash1:    hex.EncodeToString(hash1[:]),
+		Midstate: hex.EncodeToString(midstate[:]),
+		Target:   hex.EncodeToString(target[:]),
+	}
+	return reply, nil
+}
+
+// handleGetWorkSubmission is a helper for handleGetWork which deals with
+// the calling submitting work to be verified and processed.
+//
+// This function MUST be called with the RPC workstate locked.
+func handleGetWorkSubmission(s *rpcServer, hexData string) (interface{}, error) {
+	// Ensure the provided data is sane.
+	if len(hexData)%2 != 0 {
+		hexData = "0" + hexData
+	}
+	data, err := hex.DecodeString(hexData)
 	if err != nil {
-		return nil, err
+		return false, btcjson.Error{
+			Code: btcjson.ErrInvalidParameter.Code,
+			Message: fmt.Sprintf("argument must be "+
+				"hexadecimal string (not %q)", hexData),
+		}
 	}
-	vout, err := createVoutList(mtx, net)
+	if len(data) != getworkDataLen {
+		return false, btcjson.Error{
+			Code: btcjson.ErrInvalidParameter.Code,
+			Message: fmt.Sprintf("argument must be "+
+				"%d bytes (not %d)", getworkDataLen,
+				len(data)),
+		}
+	}
+
+	// Reverse the data as if it were an array of 32-bit unsigned integers.
+	// The fact the getwork request and submission data is reversed in this
+	// way is rather odd and likey an artifact of some legacy internal state
+	// in the reference implementation, but it is required for
+	// compatibility.
+	reverseUint32Array(data)
+
+	// Deserialize the block header from the data.
+	var submittedHeader btcwire.BlockHeader
+	bhBuf := bytes.NewBuffer(data[0:btcwire.MaxBlockHeaderPayload])
+	err = submittedHeader.Deserialize(bhBuf)
 	if err != nil {
-		return nil, err
+		return false, btcjson.Error{
+			Code: btcjson.ErrInvalidParameter.Code,
+			Message: fmt.Sprintf("argument does not "+
+				"contain a valid block header: %v", err),
+		}
 	}
 
-	txReply := &btcjson.TxRawResult{
-		Hex:      mtxHex,
-		Txid:     txSha,
-		Vout:     vout,
-		Vin:      vin,
-		Version:  mtx.Version,
-		LockTime: mtx.LockTime,
+	// Look up the full block for the provided data based on the
+	// merkle root.  Return false to indicate the solve failed if
+	// it's not available.
+	state := s.workState
+	blockInfo, ok := state.blockInfo[submittedHeader.MerkleRoot]
+	if !ok {
+		rpcsLog.Debugf("Block submitted via getwork has no matching "+
+			"template for merkle root %s",
+			submittedHeader.MerkleRoot)
+		return false, nil
 	}
 
-	if blk != nil {
-		blockHeader := &blk.MsgBlock().Header
-		idx := blk.Height()
+	// Reconstruct the block using the submitted header stored block info.
+	msgBlock := blockInfo.msgBlock
+	block := btcutil.NewBlock(msgBlock)
+	msgBlock.Header.Timestamp = submittedHeader.Timestamp
+	msgBlock.Header.Nonce = submittedHeader.Nonce
+	msgBlock.Transactions[0].TxIn[0].SignatureScript = blockInfo.signatureScript
+	merkles := btcchain.BuildMerkleTreeStore(block.Transactions())
+	msgBlock.Header.MerkleRoot = *merkles[len(merkles)-1]
 
-		// This is not a typo, they are identical in bitcoind as well.
-		txReply.Time = blockHeader.Timestamp.Unix()
-		txReply.Blocktime = blockHeader.Timestamp.Unix()
-		txReply.BlockHash = blksha.String()
-		txReply.Confirmations = uint64(1 + maxidx - idx)
+	// Ensure the submitted block hash is less than the target difficulty.
+	err = btcchain.CheckProofOfWork(block, activeNetParams.powLimit)
+	if err != nil {
+		// Anything other than a rule violation is an unexpected error,
+		// so return that error as an internal error.
+		if _, ok := err.(btcchain.RuleError); !ok {
+			return false, btcjson.Error{
+				Code: btcjson.ErrInternal.Code,
+				Message: fmt.Sprintf("Unexpected error while "+
+					"checking proof of work: %v", err),
+			}
+		}
+
+		rpcsLog.Debugf("Block submitted via getwork does not meet "+
+			"the required proof of work: %v", err)
+		return false, nil
 	}
 
-	return txReply, nil
+	latestHash, _ := s.server.blockManager.chainState.Best()
+	if !msgBlock.Header.PrevBlock.IsEqual(latestHash) {
+		rpcsLog.Debugf("Block submitted via getwork with previous "+
+			"block %s is stale", msgBlock.Header.PrevBlock)
+		return false, nil
+	}
+
+	// Process this block using the same rules as blocks coming from other
+	// nodes.  This will in turn relay it to the network like normal.
+	isOrphan, err := s.server.blockManager.ProcessBlock(block)
+	if err != nil || isOrphan {
+		// Anything other than a rule violation is an unexpected error,
+		// so return that error as an internal error.
+		if _, ok := err.(btcchain.RuleError); !ok {
+			return false, btcjson.Error{
+				Code: btcjson.ErrInternal.Code,
+				Message: fmt.Sprintf("Unexpected error while",
+					"processing block: %v", err),
+			}
+		}
+
+		rpcsLog.Infof("Block submitted via getwork rejected: %v", err)
+		return false, nil
+	}
+
+	// The block was accepted.
+	blockSha, _ := block.Sha()
+	rpcsLog.Infof("Block submitted via getwork accepted: %s", blockSha)
+	return true, nil
+}
+
+// handleGetWork implements the getwork command.
+func handleGetWork(s *rpcServer, cmd btcjson.Cmd) (interface{}, error) {
+	c := cmd.(*btcjson.GetWorkCmd)
+
+	// Respond with an error if there are no public keys to pay the created
+	// blocks to.
+	if len(cfg.miningKeys) == 0 {
+		return nil, btcjson.Error{
+			Code:    btcjson.ErrInternal.Code,
+			Message: "No payment addresses specified via --getworkkey",
+		}
+	}
+
+	// Return an error if there are no peers connected since there is no
+	// way to relay a found block or receive transactions to work on.
+	if s.server.ConnectedCount() == 0 {
+		return nil, btcjson.ErrClientNotConnected
+	}
+
+	// No point in generating or accepting work before the chain is synced.
+	if !s.server.blockManager.IsCurrent() {
+		return nil, btcjson.ErrClientInInitialDownload
+	}
+
+	// Protect concurrent access from multiple RPC invocations for work
+	// requests and submission.
+	s.workState.Lock()
+	defer s.workState.Unlock()
+
+	// When the caller provides data, it is a submission of a supposedly
+	// solved block that needs to be checked and submitted to the network
+	// if valid.
+	if c.Data != "" {
+		return handleGetWorkSubmission(s, c.Data)
+	}
+
+	// No data was provided, so the caller is requesting work.
+	return handleGetWorkRequest(s)
 }
 
 var helpAddenda = map[string]string{