|Things to know:|
|– The staking process is often seen as complicated and frequently misunderstood. And that’s a shame, because crypto staking is a great way to passively grow your digital assets while helping to secure a blockchain network.
– Today, Ledger is launching its own validator on the Cosmos Hub chain, the first chain to be introduced on the Cosmos protocol, heralded by its founding team as an “Internet of Blockchains.” You can now securely stake your ATOM coins and earn rewards while using the Ledger validator.
What Is Staking?
Crypto staking is an easy way to passively grow your crypto assets. It involves locking up your digital assets to support a blockchain network security and governance.
Simply put, with Delegated Proof-of-Stake (DPoS) Blockchains like in the Cosmos ecosystem, you can stake your assets and earn rewards for doing so… Sounds appealing, isn’t it?
Cosmos (ATOM): An Internet Of Blockchains
Cosmos (ATOM), a decentralized network of independent parallel blockchains, is often heralded as an “Internet of Blockchains” that solves a major pain point within the blockchain industry: its fragmentation. Hundreds of blockchain exist, but the problem is that they can hardly communicate.
To answer this technical hurdle, Cosmos aims to create a network of crypto protocols united by open-source tools. Cosmos’ differentiating factor is hence its focus on interoperability.
How are Cosmos’ staking rewards generated? If you stake ATOM, you are generating rewards from two different ways at the same time. On the one hand, transaction fees collected on the Cosmos Hub are distributed to stakers. On the other hand, the total supply of ATOM is inflated after each block created in order to reward those who participate to secure the network.
Stake Your ATOM coins On Ledger Validator
Back in February, we announced our partnership with Figment, a blockchain infrastructure, enabling you to delegate tokens and earn rewards on ‘Ledger by Figment’ Validator. Solana is the first coin that you can stake on the ‘Ledger by Figment’ Validator.
Your staking experience is reaching a new milestone as Ledger now has its own staking validator. You can contribute to the security of the Cosmos blockchain while earning rewards by delegating your ATOM to a Ledger validator.
- Install the latest version of the Cosmos app (at least 2.34.4) on your Ledger device.
- Add a Cosmos account by clicking on “Add Account” on the Accounts page of Ledger Live. Learn more
- Receive some Cosmos in your account or buy some directly through Ledger Live. Learn more.
- Click on the “Earn rewards” button on your Cosmos account page.
- Enter the amount of ATOM to delegate. By delegating a higher amount, you can get more reward.
- Select “Ledger Validator” as a validator option.
- Verify and confirm the delegation operation on your Ledger device.
- Start staking crypto to passively earn money.
Why Stake Through The Ledger Ecosystem?
Different staking techniques exist. On the one hand, custodial staking solutions imply that centralized third-parties own your private keys. But that comes with a serious drawback: you don’t own your private keys and hence don’t enjoy full ownership of your coins. If the exchange platform gets hacked, censored or goes bankrupt while your coins are staked, consider them gone.
When managing your digital assets, you should always remember one simple fact: if you are not in control of your keys, you are not in control of your coins.
Trading your digital assets through a software wallet means that your display screen is online and as a result inherently vulnerable to hacking. You are never 100% sure that what you see on your computer/smartphone screen is what you sign. In contrast, staking through your hardware wallet eliminates the risks since its offline feature makes it impenetrable to hackers and avoids blind signing.
Staking through the Ledger validator brings clear benefits, including:
- Security. Staking through Ledger enables you to generate rewards** while securely holding your private keys in your Ledger hardware wallet. By choosing Ledger validators, your coins are staked in the world’s most secure environment.
- Ownership. You can generate rewards while still controlling your private keys, which are safely stored offline, within your hardware wallet secure chip. Your keys are yours, and so are your coins!
- A validator you know and trust. No need to spend hours looking and comparing validators online. Ledger is your all-in-one staking solution.
- Easy to use. You can earn staking rewards directly in your Ledger Live app, making your experience safer and highly convenient.
For Fabrice Dautriat, Head of Developer Ecosystem at Ledger, “Cosmos is a leading internet of blockchains that you can now stake through Ledger Live, your all-in-one app. Staking on Ledger nodes will make your crypto life easier and more secure.”
Ledger Live: your all-in-one Web3 App
Ledger Live is the one-stop-shop for all your crypto needs where you can buy, swap, sell, stake and grow your digital assets from the safety of your hardware wallet. Staking your digital assets has never been easier and more secure. So take the staking leap with us.
Swap, lend, and other crypto transaction services are provided by third-party partners. Ledger provides no advice or recommendations on use of these third-party services.
Rewards are not guaranteed. Ledger provides no advice or recommendations on use of staking services.