To enable investors to stake their ETH in a decentralized way on Ethereum, Ledger and Kiln have teamed up to launch a shared staking service. What does this new service involve?
Kiln’s shared staking comes to Ledger Live
As we saw this summer when we noted that 20% of ETHs were securing Ethereum, staking has been gaining momentum on this blockchain since the success of the Shapella update. To take part in this democratization, hardware wallet manufacturer Ledger and staking service provider Kiln have teamed up to offer shared staking.
As a reminder, staking on Ethereum is only natively possible in multiples of 32 ETH, leading investors wishing to deposit less to turn to third-party solutions. So whether it’s Lido, Coinbase, or any other service enabling this, all will group these ETH, to create validators in batches of 32 ETH.
This is what the partnership between Ledger and Kiln proposes, enabling investors to do this directly on-chain on their hardware wallet from the Ledger Live application.
In fact, Kiln’s services have been available on Ledger Live since last year, but until then it was only possible to stake multiples of 32 ETH. Kiln CEO Laszlo Szabo describes this new feature as an “important milestone”:
“Today’s launch of our staking pool within the Ledger ecosystem takes an important step towards further democratizing staking, allowing all ETH holders to securely stake any amount using their Ledger devices. “
To access this service, Kiln’s application can be found in Ledger Live’s “Discover” tab, so you can stake your ETH in a decentralized way:
Stake ETH with Kiln from Ledger Live
As this mutualized staking option is new to Kiln, Ledger specifies that returns may fluctuate between 0 and 4% p.a. in the early days, before stabilizing.
While staking is sometimes criticized for being highly concentrated among a few players such as Lido, it’s important to see other initiatives take market share in order to diversify the offer and provide Ethereum with greater decentralization.
