Are there any risks involved in staking ETH on Ledger?

1 answers

• Dec 17, 2021 · 3 years ago
  When it comes to staking ETH on Ledger, it's important to understand the risks involved. While Ledger is a reputable hardware wallet provider, there are still potential risks to consider. One risk is the possibility of losing access to your staked ETH if you lose or damage your Ledger device. It's crucial to keep your recovery phrase safe and secure to avoid any potential loss. Another risk is the reliance on the Ethereum network. If the network experiences technical issues or undergoes a hard fork, it could impact the staking process and potentially result in the loss of staked ETH. Additionally, there is the risk of smart contract vulnerabilities. While Ledger takes security seriously, it's always possible for vulnerabilities to be discovered in the underlying smart contracts. It's important to stay updated on any security patches or updates from Ledger to mitigate these risks.
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