diff --git a/networks/local/README.rst b/networks/local/README.md
similarity index 85%
rename from networks/local/README.rst
rename to networks/local/README.md
index 601d238de..af3b6c870 100644
--- a/networks/local/README.rst
+++ b/networks/local/README.md
@@ -1,14 +1,11 @@
-localnode
-=========
+# Local Docker Testnet
 
-Requirements
-------------
+## Requirements
 
-- `Install docker <https://docs.docker.com/engine/installation/>`__.
-- `Install docker-compose <https://docs.docker.com/compose/install/>`__.
+- [Install docker](https://docs.docker.com/engine/installation/)
+- [Install docker-compose](https://docs.docker.com/compose/install/)
 
-Build
------
+## Build
 
 Build the `tendermint` binary and the `tendermint/localnode` docker image:
 
@@ -24,18 +21,15 @@ make build-linux
 
 # Build tendermint/localnode image
 make build-docker-localnode
-
 ```
 
-Run a testnet
--------------
+## Run a testnet
 
 To start a 4 node testnet run:
 
 ```
 make localnet-start
-
-``
+```
 
 The nodes bind their RPC servers to ports 46657, 46660, 46662, and 46664 on the host.
 This file creates a 4-node network using the localnode image.
@@ -47,11 +41,9 @@ To update the binary, just rebuild it and restart the nodes:
 make build-linux
 make localnet-stop
 make localnet-start
-
 ```
 
-Configuration
------------
+## Configuration
 
 The `make localnet-start` creates files for a 4-node testnet in `./build` by calling the `tendermint testnet` command.
 
@@ -76,11 +68,11 @@ docker run -v `pwd`/build:/tendermint tendermint/localnode
 
 ```
 
-Logging
--------
+## Logging
+
 Log is saved under the attached volume, in the `tendermint.log` file. If the `LOG` environment variable is set to `stdout` at start, the log is not saved, but printed on the screen.
 
-Special binaries
-----------------
+## Special binaries
+
 If you have multiple binaries with different names, you can specify which one to run with the BINARY environment variable. The path of the binary is relative to the attached volume.