Murdoch, who was sent home in disgrace from the All Blacks' 1972 UK tour after he punched a security guard, died of cancer in Carnarvon in February.
The mysterious All Black was buried without a headstone in March on the outskirts of Carnarvon along the North West Coastal Highway.
But after photographs of Murdoch's final resting place emerged in the media, a group of friends as far away as Thailand pitched in ensure the uncompromising prop had a headstone.
Murdoch's former Mt Isa Mines colleague, Bruce McCosh, initiated the fundraiser after he said he got in contact with Murdoch's sister, Barbara.
"I asked Barbara whether she wanted to put some words together and we'd raise some money and get a proper headstone for Keith," he told Perth Now.
"Barbara said 'yes' and just a couple of days ago the local undertaker sent me the photos of Keith's new headstone."
The words on his new headstone read: "Here lies a man some called a legend, a mystery man, but to his family and friends he was a very much loved big man with a kind heart, who loved a beer with his mates and found his peace in the solitude of The Outback."
In December 1972, hours after scoring the winning try in a 19-16 victory over Wales at Cardiff Arms Park, Murdoch was refused entry to a closed bar before punching a security guard becoming the first — and only — All Black to be sent home from a tour.
To avoid the waiting New Zealand press, Murdoch jumped on a plane destined for Australia during a stopover.
Following his banishment, Murdoch lived a reclusive life in the Australian outback, occasionally reappearing in the headlines before slipping back into the shadows.
