One of the ways to get cryptocurrencies passive income with less risk of staking is to cryptocurrencies using ” Proof of participation ” or “Proof of Stake”. I bring you this tutorial on how to staking tezos from Ledger so that you can staking by storing your Tezos in the safest way and earn more than 6% per year.
To secure a blockchain with proof of possession, you must mount a specific computer, make sure it is connected 7 days a week, 24 hours a day, with all the difficulties that that entails.
At Tezos you can delegate your coins to someone else (or account) so they can staking you for you, taking care of all the technical aspects, while keeping control of the private keys for a small commission on performance.
Never send your cryptocurrencies to anyone, unless it is a cryptocurrency buying and selling service that has a good reputation. When you send them, you no longer have power over them and you are placing your trust in him.
Tutorial on how to staking Tezos from Ledger Nano step by step
- Buy a Ledger Nano
- Set up your Ledger Nano and Ledger Live on your computer
- Download the Tezos app on your Ledger Nano from Ledger Live
- Add a Tezos portfolio on Ledger Live
- Receive Tezos in your Ledger wallet
- Choose a baker
- Tezos staking configuration from Ledger
- Wait 21 days and start receiving rewards
1. Buy a Ledger Nano
A ledger is a device that stores the private keys of all your cryptocurrencies
A Ledger Nano S is a physical device that is used to store, send, receive and consult cryptocurrency balances in the safest way. There are two Ledger Nano, the “S” and the “X”. While the “X” model is more expensive, it has more memory so you don’t have to uninstall and reinstall cryptocurrency wallets that you still have.
You can get the devices from their official store or Amazon:
- shop.ledger.com
- Amazon
2. Configure your Ledger Nano and Ledger Live on your computer
If you just bought the Ledger Nano S wallet, visit my Ledger Nano S and Ledger Live tutorial to do the initial setup and have your device ready to complete this tutorial.
3. Download the Tezos app on your Ledger Nano from Ledger Live
Click on the “Manager” menu on the left sidebar. Once inside, enter the name Tezos into the Ledger Nano application search bar. Finally, click on the “Install” button that appears to the right of the application bar.
The “Install” button will change to the text “Installed” in green and on your Ledger Nano S you will have the Tezos wallet with the cryptocurrency symbol.
4. Add a Tezos portfolio in Ledger Live
Click on the “Accounts” tab on the left side menu and then click on the “+ Add account” button under the Bitcoin wallet.
In the window that appears below, click on the “Choose a crypto asset” drop-down and type Tezos in the search bar. When you find it, click on the “Tezos (XTZ)” symbol and click on the “Continue” button.
Next, you must start your Tezos portfolio on your Ledger Nano S. Find the Tezos icon in the main menu of your Ledger Nano S with the upper buttons and click on both at the same time once located above.
In the Ledger Live application, click on the “Add acount” button.
The next screen is a confirmation message. Click on the “Close” button that appears next to the “Add more” button to close the window.
In your accounts tab, the Tezos account should appear below the Bitcoin wallet.
5. Receive Tezos in your Ledger wallet
Get your public Ledger address where to send the Tezos
You already have your Tezos (XTZ) wallet set up in the Ledger Live app, ready to receive tezzies, the Tezos blockchain currency.
Click on the Tezos account and the menu of your Tezos accounts will open. As you still do not have Tezos in your accounts, the following menu will appear. Click on the button in the center of the screen with the text “Receive”.
In the window that appears, click on the “Continue” button. The Tezos portfolio is checked by default.
In the second step, it shows you the public keys both in the Ledger Live application and on your Ledger Nano device.
Check that the address is the same on both screens for security reasons and, if they match, copy the address from the Ledger Live application using the button with the two overlapping squares to the right of the address, or double-click the address and then “Control + c “.
When you have the public address copied, click on the button at the top right of your Ledger Nano at the same time to confirm and go to the next step.
Click on the “Done” button of the Ledger Live application to finish.
Send the Tezzies to your Tezos address on your Ledger Nano
In this case I am going to send Tezzies, the Tezos currency (XTZ), from Kraken .
Login to your Kraken account and click on the “Funds” tab on the top bar. Next, find the Tezos coin and click on the “Withdraw” button.
In the next menu, you must add the Tezos address of your Ledger, which you copied in the previous step, to your Kraken account.
Click on the “+ Add address” button in the center of the screen, give this address a name to recognize it (for example: Ledger Nano), and copy the address in the “Tezos Address” box. Finally, click on “Save address”.
They will send an email to your Kraken email address to confirm the address. Once confirmed by clicking the link in the email received, refresh Kraken by pressing F5 and the address will appear. Select the added address, select the amount of Tezzies you want to withdraw and click on “Review withdrawal.”
Then, all you have to do is click on the “Accept withdrawal” button on the next screen after confirming the address and waiting for the withdrawal to take place and receive the Tezzies in your Ledger wallet.
Ready! You already have your Tezzies stored in the Ledger Nano wallet, safely and with the control of private keys. The difference between the amount withdrawn from Kraken and the balance of your Ledger portfolio is for the Kraken commissions (0.2 XTZ).
6. Choose a “baker”
You must choose a “baker”, which are companies or people that have a Tezos node to secure the network and give them permission to do staking (or “baking”, it’s the same) for you.
The mytezosbaker page lists the main Tezos bakers. To choose a baker, the most important parameters are:
- That he has sufficient capacity, that is, that he can accept Tezos to still delegate. If he does not have the capacity, he will not be able to delegate for you and you will have lost rewards. It’s the column with the name “Capacity”. Green is that it still has a lot of capacity and red is that it has little.
- Yield or “Staking Yield”. It is the percentage of your initial Tezos amount that you will receive annually. You want it to have the maximum performance. It varies depending on the commission and efficiency of the delegator during the last 30 days.
- Efficiency. Efficiency is how long the node has been up for the last 180 days. You want the efficiency to be AAA to make sure you don’t miss out on rewards. It’s in the column labeled “Efficiency.”
- Time it has been operating. The longer it takes, the more likely it is that they will not close the service and you will lose commissions.
I would choose the PayTezos delegator, number 6.
- It has a lot of free capacity.
- Yield of 5.63% annually, behind only P2P Validator and Tezgate, both without capacity.
- AAA efficiency.
- It has been operating since November 2018, right when the Tezos blockchain was launched, which means that it is quite reliable.
Once the baker is chosen, click on his row on the mytezosbaker website.
On the page of the chosen baker, under their name, you will find the Tezos address to which you must give permissions. Copy it using the icon that appears just to the right of the address, inside the red box.
7. Configuration for staking Tezos from Ledger
Go to the Ledger Live application and within the Tezos account, scroll down to the “Delegation” menu. Click on the “Earn rewards” button that appears on the right.
In the following informative pop-up window, it informs you that by delegating your Tezzies you are still in control of your coins. Click on the “Delegate to earn rewards” button.
The next menu marks you the baker “Stakin” by default. Click on the “select” text that appears marked in red to add the one you have previously chosen from mytezosbaker.
Next, select the text “Custom validator” that appears below the list of bakers or you can search if you find it in the list. The one chosen in step 6, “PayTezos” is in third position in the list.
You must enter the public address of the baker that you have chosen in step 6 in the unfilled field that appears. You just have to paste it and click on “Use validator”.
The next menu asks you to confirm the baker and shows you the approximate annual performance you will have. Click on “Continue”.
You must confirm this step on your Ledger Nano. Confirm that all the information that appears in the Ledger Live computer application is the same that appears in your Ledger Nano and when you have reviewed it, click on the right button of your Ledger Nano to confirm.
Once the transaction is confirmed, you already have your tezzies staking from your Ledger Nano safely and you don’t have to worry anymore.
The menu for your Tezos accounts should appear.
8. Wait 21 days and start receiving rewards
You should start receiving your first rewards after 21 days. Bakers have different systems for automating payments to users who delegate their coins to them.
In a maximum of 40 days you should start seeing transfers of tezzies to your account from the baker’s account every 3 days.
Happy staking!
9. Cancel the delegation of your tezzies to send them wherever you want
If you want to stop staking Tezos to sell them or to transfer them to another account, click on the three points to the right of the section of your baker that is marked in red. Next, click on “End delegation” from the drop-down menu, in the pop-up window that appears click on “Continue” and finally accept the transaction from your Ledger Nano by clicking on the upper right button.
Ready! You already have your Tezzies available to send them to any address.
Important comments
You can cancel the staking of your Tezos at any time without penalty. You will only have to pay a transaction commission to the people who secure the network through staking, as in any blockchain.
You can withdraw your Tezos and send them to an exchange to sell at any time quickly.
When you finish staking, you will receive tezzies for 21 more days (7 cycles), corresponding to the 7 cycles you waited for.
Other recommendations
If you want to find out more about the project, you can consult my fundamental analysis of Tezos .
If you still don’t know how to buy Tezos, you can visit my tutorial on how to buy Tezos on Binance , or my tutorial on how to buy Bitcoins on Kraken and buy Tezos instead of Bitcoin.
Staking is one of the safest cryptocurrency methods of earning passive income. If you have more experience and want to achieve higher returns with other methods and, usually assuming more risk, see my article: How to get passive income with cryptocurrencies .
If you are new to the world of cryptocurrencies, please read these basic tips to avoid fraud and major causes of money loss. I wish I had them when I started.
Lastly, take a look at my resource page , there are many very useful tools!
