In this article I shared step by step guide about “How to stake Cardano ADA using Yoroi wallet” with photos and video. So that you can easily follow the steps to stake your cardano token to make money form that.
Proof of work (POW) is also know as crypto mining. Where miners have to solve some complex mathematical problems as a means to validate the authenticity of transactions on the blockchain by using crypto mining rig or ASSIC machines. As a reward for verifying transactions, miners are paid in cryptocurrencies.
There is one another word Proof of stake where you have to hold some amount of cryptocurrency to your wallet and for exchange of that your will get staking reward for staking cryptocurrency into the wallet.
Cardano ADA is comes under Proof Of Stake (POS) process where you can make money by staking Cardano to your wallet. Here I shared this step by step tutorial to stake Cardano using Yoroi wallet.
Steps to Stake Cardano (ADA)
Staking Cardano ADA is very simple with Yoroi wallet you just need to follow few simple steps that mentioned to start making passive income through Cardano staking.
Create Yoroi Wallet
Again creating Yoroi wallet is very simple that I covered in my article ” How to create Yoroi wallet – detailed guide“. In this article I shared step by step guide with images and video to create Yoroi wallet on desktop and mobile.
Deposit Cardano ADA Into Yoroi Wallet
To stake Cardano through Yoroi first you need to deposit Cardano into your Yoroi wallet because you can’t buy Cardano ADA through Yoroi wallet. So first you need to buy ADA into any crypto exchange like Binance, KuCoin, and Coinbase Exchange.
Here I am using Binance because it is largest crypto exchange in the world.
To deposit Cardano into Yoroi wallet first you need your wallet address which you get in the receive section of your Yoroi wallet as shown in the below image.
Once you get your Yoroi wallet address open your Binance app or website and go to Fiat and Spot Wallet.
Here choose Cardano ADA and click on withdraw option available next to the coin
On this point enter you Yoroi wallet’s address, choose network “Cardano ADA” and enter amount of ADA you want to transfer. (On every transfer you have to pay 1 ADA as transaction fee).
This transfer will take 15 – 20 min that means you need to wait for 15-20 min to receive your ADA balance to your Yoroi wallet.
Choose Cardano ADA Staking Pool
Once you receive ADA into your Yoroi wallet it’s time to choose the best Cardano staking pool to stake Cardano to make maximum profit.
In delegation list you will see many staking pools from you need to choose one pool to stake your Cardano.
If you know the name of the staking pool, then you can simply enter the name into the search bar and delegate your tokens. However, if you are unsure where you should stake your Cardano, head on over to these two sites to analyze your stake pool of choice:
Choose The Amount Of Cardano You Want To Stake
Now you choose the best pool for your Cardano its time to stake ADA to that pool. To do that just click on the delegate button next to your staking pool.
Now enter the ADA amount you want to stake and also enter spending password of your Yoroi wallet and click on delegate. You have just staked your ADA tokens and now can start collecting staking rewards.
The operation fee varies with different stake pools, and a waiting period of 20 days is needed for approval when you first start delegating. Once the approval is completed, ADA rewards are given at every epoch (five days).
How Much Can I Earn With Cardano Staking?
When ever we do any investment the first thing that comes to our mind is return on that investment. So now lets see how much we can make through staking Cardano.
Calculating the ROI of staking Cardano is very easy because Cardano provides a calculator for that. So you can also use the official calculator of Cardano staking.
But to show you I added a image below where I enter investment amount as 1000 ADA and on that investment your will get approx 4.6% per annum.
Is Staking Cardano Safe?
Along with ROI the safety of investment is very important. Staking Cardano is simply like earning investment on our money like bank account.
The ADA that is used to invest and stake does not leave the investor’s wallet. Investors have the freedom to stake any amount of ADA tokens they like and withdraw them at any time, a feature that serves as an advantage for Cardano stakers.
As shown above, staking through a wallet like Yoroi is a relatively simple process. However, as an investor, you should safeguard your password and seed phrase. If the seed phrase is lost, you will not have any access to the ADA tokens in your wallet.
FAQ – How To Stake Cardano
Wrapping It Up
Staking Cardano is really amazing way to earn money. You just need to hold your cryptocurrency to make money from that. Thats why I shared this simple and easy tutorial on How to stake Cardano into Yoroi wallet.
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