As explained in Microsoft's announcement for the feature, all you have to do is link your Xbox Live account with your Discord profile on Xbox One, similarly to how it works with other social media apps like Facebook and Twitter.
A collaboration between Microsoft and Discord is bringing new levels of integration between the Xbox One and the streaming platform.
The alliance means Xbox Live players can share what they're playing on Discord and friends can see it and join them. Citing the popularity of the Discord program that lets gamers communicate easily, the Xbox Wire announcement explained how the integration will work. An Xbox Live option will appear in the Connections tab under User Settings for users to link to their Xbox account. So, no, it's not like full Discord chat support has been added to Xbox One, but still, Microsoft is breaking new ground as they're the first console maker to attempt any sort of integration with the ultra-popular (over 90 million users) VoIP app.
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You can connect Xbox Live and Discord from either service. It remains to be seen, however, if you'll be able to utilize Discord's chat functions going forward with these new linking tools, but that would make a lot of sense, more than simply having the ability to link together your usernames. Once the accounts are linked, players can let their friends see what they're playing even if the friends' Xbox devices aren't on at the time. You'll be asked to enable permission and when you do your two accounts will be linked.
Microsoft revealed today that it's in the process of integrating Discord into Xbox.