Tezos: How do I stake XTZ on a Ledger?

Let's continue our exploration of the Tezos ecosystem and now discover how to stake XTZ using Ledger. If you want to maintain the security of the French unicorn's physical wallets and generate returns with your Tezos crypto, this guide is for you!

Ledger makes staking on Tezos easy

As you probably know, each blockchain has its own unique mechanics, much like every car manufacturer designs its own engine. As a layer 1 blockchain, Tezos operates on a mechanism derived from Proof of Stake (PoS), notably used by Ethereum.

📎 Check out our complete overview of the Tezos blockchain

Therefore, validating transactions on the network requires stakers (or validators). Currently, there are two types of validators: bakers and delegators.

The former must have a minimum of 6,000 XTZ to participate and create their own validation node. This is a significant entry barrier, hence the existence of the second role. Delegators can delegate their XTZ (without any minimum limit) to a baker who takes care of staking them for them!

Since 2023, Ledger has decided to empower the Tezos network by supporting NFTs and staking directly from the physical wallet! In the following guide, we will see how to join delegators and stake your XTZ on Ledger.

📎 Don't miss our comprehensive guide on XTZ staking on Tezos (link)

Tutorial: How to stake XTZ via Ledger?

Create a Tezos account on Ledger

The preliminary step is, of course, to have a Ledger wallet, installed the Ledger Live app, and configured everything correctly. Assuming this is the case, let's dive right into it!

Go to the "Accounts" tab on the left sidebar, then click the "Add account" button at the top right of the screen. In the window that opens, search for XTZ or Tezos and click "Continue."

On your Ledger device, you will need to approve the account creation request. To do this, enter your PIN code and simultaneously click on the two buttons of your key, as displayed on your screen.

Go back to Ledger Live and open the Tezos application. Click on "Add Account" in the window that appears on your Ledger Live app screen to confirm the procedure. Finally, complete the operation by clicking "Done."

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Buy or deposit XTZ

Your account is created! In the "Accounts" tab, you should see a Tezos line. Click on it to move on to the next step, which is to buy XTZ or deposit it into your Ledger account.

To deposit XTZ on Ledger: Click on the "Receive" button and connect your Ledger device to your computer. Unlock it by entering your PIN code and simultaneously clicking on the two buttons of your key.

Your wallet address will appear on the screen. Verify that it matches what is displayed on your device and click again simultaneously on the two buttons of your key to confirm. Go back to Ledger Live and click "Done."

For the next steps, you just need to go to any centralized exchange and send XTZ to the previously copied address. This should take a few moments to complete.

To buy XTZ directly on Ledger: In this case, click on the "Buy" button displayed at the beginning of the previous step, or go to the "Buy / Sell" tab. Continue by clicking "Compare Providers," and in the window that appears, select the euro and the cryptocurrency you want to buy, in this case, XTZ.

Enter the amount of euros you want to spend (in the example below, 200 euros).

Next, you will need to provide your country of residence before choosing the payment method you will use. We recommend a bank transfer if you are not in a hurry, or your credit card, knowing that the fees are 4.5% for the latter compared to 1.7% for the former.

Regardless of the chosen method, note that Ledger does not directly manage these operations and uses a third-party service provider. Choose the one with the most favorable fees.

Then, you will be redirected to the provider's website, and you will be guided: you will likely need to provide an email address and banking information to proceed with the payment.

📎 Check out our complete guide to buying Tezos (XTZ) crypto on Ledger

Choose your baker and stake your XTZ

Once the funds are in your wallet, go to the "Accounts" tab of your Ledger Live application. Click on the "Earn Reward" button at the bottom right of your screen. In the window that opens, click on "Delegate to earn Rewards."

Note that in the basic configuration, Ledger will automatically delegate to a randomly chosen baker. If you want to choose yourself, click on the "Select" button, and in the dropdown list, compare the different bakers.

Keep in mind that the Tezos blockchain implies that bakers must send rewards to their delegators. As this process is not entirely automated, it is advisable to choose a secure and reputable baker. Also, be vigilant about the fees: they range from 5 to 15% of the amount of your rewards. For reference, Everstake is the top baker on Tezos, even though it applies a 15% fee.

Make your choice and confirm by clicking "Continue." Validate the approval transaction on your Ledger device by clicking again on the two buttons simultaneously. There you go, your XTZ is being sent to staking and will start earning you income in 23 days!

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