staking with ledger

As more cryptocurrencies turn to proof-of-stake as their preferred consensus mechanism, we look at staking with ledger Live, a revolutionary cryptocurrency hardware wallet. 

Staking with Ledger gives investors the opportunity to earn from their crypto without having to sell it. They simply delegate their crypto to a staking validator and in so doing, they help support the blockchain. This way, they secure the blockchain and make a profit while at it – a win-win situation.

With the growing popularity of PoS, staking has become very popular with crypto exchanges and software wallets. Numerous trading platforms have actively adopted the feature. Some hardware wallet providers have also integrated the staking feature into their devices as well.

Ledger, a leading hardware cryptocurrency wallet manufacturer, has been actively working on its crypto staking features since it debuted staking in 2019.

Last week, Ledger introduced staking for Solana (SOL), giving investors the opportunity to earn SOL by committing their cryptocurrency to support the Solana network.

The unique staking feature is supported by the Ledger Live application in cooperation with the blockchain service Figment, which is the node provider. The latest staking addition joins a fast-growing list of coins already available for staking on Ledger Live, including Tezos (XTZ), Polkadot (DOT), and Cosmos (ATOM).

Why use a Ledger Wallet? 

It is important to use a Ledger hardware wallet for self custody of your assets. Self custody means that the owner of digital assets has full control of the private key that enables the transfer of their digital assets. It is crucial to keep this private key written down, and stored safely offline. 

Keeping your assets on an exchange means that the exchange controls your assets and gives you permission to move those assets off of the exchange. If the exchange is compromised, your assets will almost certainly be lost forever. This has already happened several times in the past. 

‍Why Stake? 

Staking is a great way to earn passive income by securing tokens on a Proof of Stake network. 

Tokens can be staked, or locked into a protocol in exchange for the chance to produce a block, which in turn grants you a reward. Locking your tokens is crucial for the security, operation, scalability, and decentralization of the protocol. It is also a great way to counter inflation.

Why Stake With The Ledger Live App? 

Staking with the Ledger Live app gives investors full control over their assets through self custody. 

While there are multiple staking options available, like staking through exchanges, staking through these methods gives investors way less control over their assets. Exchanges are prone to hacking and other risks. Occasionally, such staking solutions also have drawbacks such as complexity, security flaws, and lockup periods.

The Benefits of staking with Ledger

  1. Professional validator services. Ledger partners Figment provides the most secure and reliable Web 3 infrastructure.
  2. Convenience and Security. Ledger ensures your coins are staked in the world’s most secure environment.
  3. 100% Self-custody. Only you have custody of your crypto. Remember, not your keys, not your coins. 
  4. Competitive reward rates.
  5. Multiple currency support. Ledger hardware wallets let you securely stake up to 7 coins simultaneously.

How to stake crypto with Ledger Live

Ledger Live is the user interface app made for use with Ledger wallets. Ledger Live allows you to create a personal account that enables you to manage or simply view your assets.

To start staking with Ledger Live, follow the steps below:

  1. Install the Ledger Live app
  2. Create an account on Ledger Live
  3. Inside the app, find the app for the specific coin you wish to stake
  4. Transfer funds to your device using Ledger Live
  5. Start staking and earn rewards on your assets

Generate Revenue by Staking

Staking cryptocurrencies for a fixed period entitles you to rewards according to the amount of crypto staked. 

Staking rewards vary from coin to coin and basically, rewards are sent out monthly.

Delegated Staking

The other alternative is to delegate part of your stake to a validator responsible in order to secure the network. The validator then sends your rewards as they share part of the revenue they earn with everyone who delegates their stake to them. 

Often, the protocol automatically pays these kinds of rewards. In other cases, the validator is responsible for sharing the rewards.

Cryptos to Stake with Ledger

Ledger currently supports staking for Tezos, Tron, Cosmos, Algorand, Polkadot, and most recently Solana.

Ledger also supports the staking of other cryptos via the integration of third-party applications with the Ledger Live staking app.

Conclusion

Staking allows crypto investors to make money using their digital assets. Stakers earn rewards based on how much crypto they contribute towards the proof of stake mechanism. The Ledger wallet provides an excellent introduction into the world of staking, allowing users to earn rewards on a variety of cryptocurrencies whilst providing a high level of security for their assets. Get yourself a Ledger Wallet today and enjoy the benefits of secure staking.

Note: This article contains affiliate links and purchasing via the links might earn me a commission.

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