{"id":444218,"date":"2022-05-09T16:00:00","date_gmt":"2022-05-09T13:00:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/staking-via-hardware-crypto-wallet-ledger-exec-explains-how-it-works\/"},"modified":"2022-05-09T16:00:00","modified_gmt":"2022-05-09T13:00:00","slug":"staking-via-hardware-crypto-wallet-ledger-exec-explains-how-it-works","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/staking-via-hardware-crypto-wallet-ledger-exec-explains-how-it-works\/","title":{"rendered":"# Staking via hardware crypto wallet: Ledger exec explains how it works"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_84 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a2d812638c6f\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a2d812638c6f\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/staking-via-hardware-crypto-wallet-ledger-exec-explains-how-it-works\/#%E2%80%9D_Staking_via_hardware_crypto_wallet_Ledger_exec_explains_how_it_works_%E2%80%9C\" >&#8221; Staking via hardware crypto wallet: Ledger exec explains how it works &#8220;<\/a><ul class='ez-toc-list-level-2' ><li class='ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/staking-via-hardware-crypto-wallet-ledger-exec-explains-how-it-works\/#Staking_via_hardware_wallets_vs_software_wallets_and_exchanges\" >Staking via hardware wallets vs software wallets and exchanges<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/buradabiliyorum.com\/en\/staking-via-hardware-crypto-wallet-ledger-exec-explains-how-it-works\/#Crypto_always_remains_online_even_on_a_hardware_wallet\" >Crypto always remains online, even on a hardware wallet<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9D_Staking_via_hardware_crypto_wallet_Ledger_exec_explains_how_it_works_%E2%80%9C\"><\/span>&#8221; Staking via hardware crypto wallet: Ledger exec explains how it works &#8220;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<p><img decoding=\"async\" src=\"https:\/\/images.cointelegraph.com\/images\/840_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjItMDUvN2M1MTJmODctODNjOC00OWViLWJlMmYtYjA2MjBlOTFlNTVlLmpwZw==.jpg\" \/><\/p>\n<div class=\"post-content\" data-v-2a0745c6>As cryptocurrency staking is growing increasingly popular, one may wonder about staking opportunities of not only crypto exchanges or software wallets but also hardware wallets.<\/p>\n<p>By definition, staking allows investors to earn crypto without selling their holdings but rather by delegating crypto to a staking validator to support a blockchain. Originating from the word \u201cstake,\u201d the staking process refers to gaining profits and an associated passive income from crypto through a consensus mechanism known as proof-of-stake (PoS), as opposed to the\u00a0mining-based proof-of-work (PoW) mechanism of Bitcoin (BTC).<\/p>\n<p>Amid the growing popularity of PoS, staking has been growing quite popular on online crypto exchanges and software wallets, with many trading platforms actively adopting the feature. Some hardware wallet providers have been integrating the staking feature into their portable physical devices as well.<\/p>\n<p>Ledger, a major hardware cryptocurrency wallet supplier, has been actively working on its crypto staking features since debuting staking in 2019.<\/p>\n<p>On Monday, Ledger introduced staking for Solana (SOL), allowing investors to earn SOL by committing the cryptocurrency to support the Solana network.<\/p>\n<p>The new staking feature is enabled on the Ledger Live <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>lication in cooperation with the blockchain service Figment, which provides nodes for staking using the Ledger validator. The latest staking addition joins six coins already available for staking on Ledger Live, including Ether (ETH), Tezos (XTZ), Polkadot (DOT), Cosmos (ATOM), Algorand (ALGO) and others.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Staking_via_hardware_wallets_vs_software_wallets_and_exchanges\"><\/span>Staking via hardware wallets vs software wallets and exchanges<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Staking coins through a hardware wallet has a number of peculiarities compared to staking via software wallets or crypto exchanges, Alex Zinder, head of Ledger Enterprise, told Cointelegraph.<\/p>\n<p>\u201cThe main difference between staking on a software wallet versus staking with a hardware wallet is security,\u201d Zinder said, noting that hardware wallets remain the \u201csafest way for users to maintain full control of their digital assets.\u201d<\/p>\n<p>\u201cWhen staking with a software wallet, you own your coins, as you own your private keys, but the security of your coins is dependent on an external source of security,\u201d Zinder stated. The security of coins staked on software wallets depends on the security of the user\u2019s computer or smartphone, the exec added.<\/p>\n<p>In contrast to staking on crypto exchanges, staking via hardware wallets allows investors to own and control their crypto holdings truly, as well as offers the freedom to choose a validator, the Ledger executive said. On the other hand, staking with an exchange is easier because such type of staking requires fewer steps to follow, Zinder noted. \u201cYou don\u2019t need the level of education required to choose between different validators,\u201d he added.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Crypto_always_remains_online_even_on_a_hardware_wallet\"><\/span>Crypto always remains online, even on a hardware wallet<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>As hardware crypto wallets are designed to provide a form of offline storage for crypto, the process of staking coins via such wallets is sometimes referred to as \u201ccold staking,\u201d as opposed to \u201conline staking\u201d via exchanges.<\/p>\n<p>At the same time, storing crypto on a hardware wallet doesn\u2019t mean that crypto itself is offline, Zinder pointed out, stating:<\/p>\n<blockquote><p>\u201cIt\u2019s critical for everyone to understand that your crypto always remains online on the blockchain even when utilizing a hardware wallet. When we talk about hardware wallets, we\u2019re talking about private keys that are stored in a secured chip in the hardware wallet.\u201d<\/p><\/blockquote>\n<p>\u201cWhen signing a transaction, such as delegating your coins to a validator, that message is transmitted through the secure element, signed on the Nano, and then sent to the blockchain,\u201d the exec added.<\/p>\n<p><strong><em>Related: <\/em><\/strong><strong><em>Noncustodial Bitcoin wallets unbannable, says exec behind Trezor wallets<\/em><\/strong><\/p>\n<p>A hardware wallet is a type of noncustodial crypto wallet\u00a0designed to grant the user full control of the owned crypto. Contrary to custodial wallets, noncustodial wallets remove the need to rely on a third party that could recover, freeze or seize the user\u2019s crypto assets. This makes the user solely responsible for storing the private keys in order to access crypto holdings. <\/p>\n<p>With a hardware wallet, the user gets a device to store a cryptocurrency wallet and private keys. However, the user still has to keep the private keys safely offline as well.<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"markets_outlook\"><\/template><\/p>\n<\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/staking-via-hardware-crypto-wallet-ledger-exec-explains-how-it-works\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8221; Staking via hardware crypto wallet: Ledger exec explains how it works &#8220; As cryptocurrency staking is growing increasingly popular, one may wonder about staking opportunities of not only crypto exchanges or software wallets but also hardware wallets. By definition, staking allows investors to earn crypto without selling their holdings but rather by delegating crypto&#8230;<\/p>\n","protected":false},"author":1,"featured_media":444219,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/images\/1200_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjItMDUvN2M1MTJmODctODNjOC00OWViLWJlMmYtYjA2MjBlOTFlNTVlLmpwZw==.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74894,74891,75190,75189,74876,92498,74879,117],"class_list":["post-444218","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-blockchain","tag-ethereum","tag-hardware-wallet","tag-ledger","tag-proof-of-stake","tag-solana","tag-wallet","tag-business"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/444218","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=444218"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/444218\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/444219"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=444218"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=444218"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=444218"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}