Basic ISP configuration using Mikrotik Routerboard

Below is a simple scenario of how a basic ISP works and the minimum requirements:


What you need:

  • A Mikrotik router.
  • A backbone network that provides Layer 2 connectivity. It consists of cables, switches, wireless point-to-point, fiber, etc…

In this setup, the subscribers are connected via 2 switches to ether2 and ether3 on the router, and they use PPPoE to authenticate with their unique username and password.

Router Configuration:

1. IP > DHCP Client:

  • Create new DHCP Client for ether1:


2. PPP > PPPoE Servers:

  • Create PPPoE server for ether2 and ether3:


3. IP > Routes:

  • Verify default route:


4. IP > DNS:

  • Check Allow Remote Requests:


5. IP > Pool:

  • Create IP Pool to be used for pppoe clients:


6. IP > Firewall > NAT:

  • Add a masquerade rule for your IP Pool:

7. PPP > Profiles:

  • Create a PPP profile.
    Select your IP Pool as remote address.
    Use an IP outside the selected pool for local address:


8. PPP > Secrets:

  • Create a PPP secret with the previously created profile:


Client Configuration:

  • On client router, select PPPoE as the WAN connection and enter the ppp username and password.

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