Current transceiver designs for wavelet-based communication systems are typically reliant on analog waveform synthesis, however, digital processing is an important part of the eventual success of these techniques. In this paper, a transceiver implementation is introduced for the recently introduced wavelet packet modulation scheme which moves the analog processing as far as possible toward the antenna. The transceiver is based on the discrete wavelet packet transform which incorporates level and node parameters for generalized computation of wavelet packets. In this transform no particular structure is imposed on the filter bank save dyadic branching, and a maximum level which is specified a priori and dependent mainly on speed and/or cost considerations. The transmitter/receiver structure takes a binary sequence as input and, based on the desired time- frequency partitioning, processes the signal through demultiplexing, synthesis, analysis, multiplexing and data determination completely in the digital domain - with exception of conversion in and out of the analog domain for transmission.