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The Yellow Beacon is an item that can be crafted in your Crafting Menu (default key "Q") or at old Crafting Tables (that still exist in worlds created before R22 on September 16th 2015).

Before they can be crafted you will have to learn the crafting recipe from a rare Recipe Page that can found in either an Iron Treasure Chest, a Diamond Treasure Chest or can be obtained from the Thing as a loot or pet-harvest.

Once placed, the Beacon will send a beam of yellow light high up into the sky, even through many layers of ground. It does not shine downwards at the same time.

Beacons can be rotated though, also sideways to help with building large structures like they were long rulers.

Colored Beacons can be placed in a row which will "mix" their colors (for example: yellow + red = orange).

To craft 1 Yellow Beacon you'll need (as of R22 in September 2015):

Wiring Input Icon
Yellow Beacons can be wired up with activation devices like Switches, Pressure Plates, Number Pads or Sensors. Their interactivity can be toggled