Fungal mycelium has been touted as an environmentally sustainable potential replacement for a wide range of materials commonly used today, including textiles, building materials, and medical bandages. Additional applications of mycelium are possible through pyrolysis, wherein chitin in the mycelium is carbonized to produce useful carbon allotropes like biochar or activated carbon. Here, we demonstrate that this pyrolysis process can be achieved quickly and efficiently with a plasma reactor built around a commonly available kitchen microwave oven. It is found here that this microwave plasma pyrolysis (MPP) process converts the mycelium into a "mycodiamond" matrix containing ultrananocrystalline diamond (UNCD) nanostructures with macro-, micro-, and nanoscale features. Verification of the MPP-induced transformation of mycelium into UNCD is confirmed via complementary material analysis techniques including Raman spectroscopy, high-resolution transmission electron microscopy, and X-ray diffraction. Analysis of the myco-diamond surface morphology was performed via scanning electron microscopy. The MPP process represents a scalable and low-cost method of producing UNCD nanomaterials derived from renewable biological sources.