diff --git a/docs/source/daemon.rst b/docs/source/daemon.rst
index 22b6f05..4ffc698 100644
--- a/docs/source/daemon.rst
+++ b/docs/source/daemon.rst
@@ -1,5 +1,141 @@
 Interacting with daemon
 =======================
 
+The module offers an interface to interact with Monero daemon. For the time being, like with
+wallet, the only available backend is JSON RPC.
+
+.. code-block:: python
+
+    In [1]: from monero.daemon import Daemon
+
+    In [2]: from monero.backends.jsonrpc import JSONRPCDaemon
+
+    In [3]: daemon = Daemon(JSONRPCDaemon(port=28081))
+
+    In [4]: daemon.height()
+    Out[4]: 1099108
+
+Also, the ``info()`` method will return a dictionary with details about the current daemon status.
+
+Sending prepared transactions
+-----------------------------
+
+The daemon connection may be used for two-step sending of transactions. For example, you may want
+to check the fee before broadcasting the transaction to the network.
+
+To prepare a transaction, use ``transfer()`` or ``transfer_multiple()`` method of the wallet or
+account, as described in :ref:`the section about sending payments <sending-payments>`.
+The only difference is that now you want to add the ``relay=False`` argument.
+
+.. code-block:: python
+
+    In [5]: from monero.wallet import Wallet
+
+    In [6]: from monero.backends.jsonrpc import JSONRPCWallet
+
+    In [7]: wallet = Wallet(JSONRPCWallet(port=28088))
+
+    In [8]: wallet.balance()
+    Out[8]: Decimal('17.642325205670')
+
+    In [9]: txs = wallet.transfer('Bg1nUjsEx6UUByxr68o6gXcQRF58BpQyKauoZSo2HwubGErEnz9x6AS9o5ybmk3QmgeUpX3Msgm74QkwZKx2CeVWFrrZZqt', 10, relay=False)
+
+Now the return value is a list of resulting transactions (usually just one) which may be inspected
+and validated.
+
+.. code-block:: python
+
+    In [10]: txs
+    Out[10]: [38964a0c8c3be041051464b413996ad8d696223dc34925d98156848ed76a3ae3]
+
+    In [11]: txs[0].fee
+    Out[11]: Decimal('0.003766080000')
+
+If anything is not OK, just discard the transaction and create a new one. There's no need to clean
+up anything in the wallet.
+
+Once you have the transaction accepted, it's time to post it to the daemon:
+
+.. code-block:: python
+
+    In [12]: result = daemon.send_transaction(txs[0])
+
+    In [13]: result
+    Out[13]: 
+    {'double_spend': False,
+     'fee_too_low': False,
+     'invalid_input': False,
+     'invalid_output': False,
+     'low_mixin': False,
+     'not_rct': False,
+     'not_relayed': False,
+     'overspend': False,
+     'reason': '',
+     'status': 'OK',
+     'too_big': False}
+
+No batching due to double spends
+--------------------------------
+
+.. warning:: The workflow described above should not be used for preparing a batch of transactions
+    to be sent later. The wallet doesn't remember which inputs have been spent and will very likely
+    use the same in the next transaction, resulting in a double spend and broadcast failure.
+
+The following example shows such behavior:
+
+.. code-block:: python
+
+    In [14]: txs1 = wallet.transfer('BYSXsmmK44xdjNVMGprUW5Yau9tsc9SAMJrQsANjGgpk2RB83cvVhWjZAgYNwLgmhdPawATh5q1CTEoLGKZSeZqtThefV7D', 1, relay=False)
+
+    In [15]: txs2 = wallet.transfer('Bd5m5wTjWdYSaLBKe4i2avJjuFLYMEUKpiiE86F83NFiDXKE7QseSRvS7efTtJu5xHiHm5XmxgB2mfLu7NFrG7e3UTYRzEf', 2, relay=False)
+
+    In [16]: txs1, txs2
+    Out[16]: 
+    ([315901f250a1018e89e1fc2b3953bd5acfdfa759f843cf5a38306a2255de6d54],
+     [2bd978172226b486badc8a9dcbafb04acb4760c3f2a5794c694fee8575739c6e])
+
+    In [17]: daemon.send_transaction(txs1[0])
+    Out[17]: 
+    {'double_spend': False,
+     'fee_too_low': False,
+     'invalid_input': False,
+     'invalid_output': False,
+     'low_mixin': False,
+     'not_rct': False,
+     'not_relayed': False,
+     'overspend': False,
+     'reason': '',
+     'status': 'OK',
+     'too_big': False}
+
+    In [18]: daemon.send_transaction(txs2[0])
+    ---------------------------------------------------------------------------
+    TransactionBroadcastError                 Traceback (most recent call last)
+    <ipython-input-22-f24dc5d51c78> in <module>()
+    ----> 1 daemon.send_transaction(txs2[0])
+
+    ~/devel/monero-python/monero/daemon.py in send_transaction(self, tx, relay)
+         10 
+         11     def send_transaction(self, tx, relay=True):
+    ---> 12         return self._backend.send_transaction(tx.blob, relay=relay)
+         13 
+         14     def mempool(self):
+
+    ~/devel/monero-python/monero/backends/jsonrpc.py in send_transaction(self, blob, relay)
+         36         raise exceptions.TransactionBroadcastError(
+         37                 "{status}: {reason}".format(**res),
+    ---> 38                 details=res)
+         39 
+         40     def mempool(self):
+
+    TransactionBroadcastError: Failed: double spend
+
+The second transaction failed because it used the same inputs as the previous one. The daemon
+checks all incoming transactions for possible double-spends and rejects them if such conflict
+is discovered.
+
+API reference
+-------------
+
 .. automodule:: monero.daemon
    :members:
diff --git a/docs/source/transactions.rst b/docs/source/transactions.rst
index 47e3c4e..b40b286 100644
--- a/docs/source/transactions.rst
+++ b/docs/source/transactions.rst
@@ -177,6 +177,8 @@ and ``unconfirmed`` query parameters that accept boolean values:
 You may as well query for both confirmed and unconfirmed transactions using
 ``wallet.incoming(unconfirmed=True)`` (the default value for ``confirmed`` is ``True``).
 
+.. _sending-payments:
+
 Sending payments
 ----------------