Delegation is one of the most interesting aspects of the Hive ecosystem. In this post, you will learn how to earn LEO tokens passively with delegation.
Last week I published a post, "How to Earn SPT Tokens Passively With Delegation", which a lot of people found interesting. I thought I might write something similar for LEO.
I know many of you know how to delegate Hive Power (HP) to earn LEO passively, but for the noobs out there (me being one of them) this will be an interesting read.
Logo owned by @leofinance
The Importance of Delegation in the Hive Ecosystem
When we talk about delegation and LEO tokens, the first name that comes to mind is @leo.voter.
With delegation, by staking your tokens, and then delegate to curators you can receive curation rewards automatically. This works when you delegate tokens and Hive Power (HP).
But why would you do that? Many people don't have time to find and upvote great content. And that's a lot of rewards left on the table for many people.
That's where @leo.voter and other curators like them come in. When you delegate, you get curation rewards based on the amount you delegate.
If you delegate 100 you'll get a certain amount of rewards, but if you delegate 10,000 you get more. The heavy-lifting is done by them, and you only need to cash in your tokens when they're sent.
Again, that's a great way to earn passively.
And to be clear, anyone can delegate on the Hive blockchain. You only need an asset like HP (or token) to delegate to the receiver.
It's worth noting that when you delegate, you're not losing any portion of the delegated stake (token or HP) but only its benefits, until you decide to undelegate.
How to Delegate HP and Earn LEO Passively
You have different ways to delegate your Hive Power (HP) but we're going to use the wallet on LeoFinance for the sake of this tutorial.
Go to LeoFinance.io and head over to your wallet (drop-down menu top-right corner).
Then, click on Hive (left of your screen) to access your Hive blockchain wallet.
To delegate HP you need to click on the user 👤 icon, as shown in the image below.
By clicking on that, you'll get the following pop-up.
At this point you need to:
- Indicate a recipient, which is @leo.voter in our example.
- Decide on the amount you're willing to delegate to the recipient.
- Click on Continue to conclude the operation.
This is an example in the following image.
I couldn't go ahead with the operation as I don't have enough HP at the moment. However, that's the way to go.
But how much can you really make with this?! It all depends on the amount you decide to delegate. The more HP you delegate, the more you make.
To give you an example, the screenshot below is from a post written by @jonsnow1983 a while ago. You can read the original article here.
In that article, @jonsnow1983 shows how @netaterra delegated 10,000 HP to @leo.voter and earned about 1 LEO per day (see image). Not life-altering, I know, but passive income nonetheless.
Delegating LEO Power? LeoFi Lending Coming Soon...
If you have some LEO Power (LP) in your account, you can delegate that too. Usually, people delegate LP to to @amr008.leo and get passive income from that.
However, soon you'll be able to actually Lend that LP for some nice returns through LeoFi.
A couple of months ago LeoFinance introduced LeoFi.io, a decentralized leasing and lending marketplace for LEO Power.
I've got the feeling that LeoFi will be huge in the future.
At the moment you can only lease LP, through the Decentralized Leasing Marketplace (image below). If you've ever leased some Hive Power in the past, it's a very similar approach.
This post is not about leasing - which is the thing you do when you need some LEO Power - but I want to show you how it works because I'm sure lending will work similarly.
Click on LEASE on the left side of the screen.
Then, click on the blue button Request Lease and you'll be presented with the following screen.
In this example:
- I'm about to lease 1,000 LEO Power
- I can pay 5 LEO per week
- I want to lease for 12 weeks
The APR of 22.14% and Total Payment of 60 that you see above will automatically calculate themselves in real-time as you manipulate the fields above.
Clicking Next will take you to a Confirmation page to review your Lease Request before submitting it. You can complete the Transaction with either Hivesigner or Hive Keychain.
Of course, you'll be able to un-lease and cancel at any time.
Note that if you cancel, then the LEO payment will be returned to the user who leased the LEO Power from you - less any LEO that was already paid out.
I imagine they'll build a very similar system for lending your unused LEO power where you'll decide how much you want to lend and for how long.
Are you delegating HP already? How much are you earning? Let me know in the comments.
Ciao 👋😊
Posted Using LeoFinance Beta
i just delegated
That's great! Are you happy with the results? Good return?
Didn't get yet
oh ok.
hopefully something will come through soon.
!PIZZA
Thanks so much for the pizza 🙂
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Saludos @LeoFinance , reading, for me as newbies, it helps me a lot.
I'm very happy to understand this helps you. 👊🙂
Stay tuned as I am working on more material on LeoFinance and other topics.
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STOPTo support your work, I also upvoted your post!
That's interested. Your post really help me. I know how to stake but I don't know how to delegate. I will try the delegation Soon
Posted Using LeoFinance Beta
That's great man! I'm happy to hear that the article helped.
I'll publish more posts like this in the future. Stay tuned 👊🙂
Thank you bro. You are welcome
Posted Using LeoFinance Beta
Nice post you have here. Can you please tell me the advantage of leasing Leo? I still don’t understand leo lease
Leasing LEO would give you LEO power. You can do different things with it. It depends...
Lending you're giving away, Leasing you're getting something from someone else.
Thanks for this explanation
You're most welcome! 🙂
What is the minimum HP to delegate @leo.voter?
Posted Using LeoFinance Beta
I'm not sure to be honest. I imagine any amount, but the more you give the better the return.
You can even start with 100. Try a 100 to give it a try (not financial advice). 🙂
Very helpful, great content.
Thanks so much!
More like these are coming soon ... stay tuned 👊😁
Oh nice, i will definitely stay tuned.
Very nice article and simple explanations on how to delegate.
I do not know if you were aware but a new service from @hodlcommunity Delegate to @hodlcommunity Leofinance Curation Project and get paid !
This is a service which pays weekly liqui LEO if you delegate your LEO Power to @hodlcommunity.
If you delegate Hive Power, they pay daily liquid Hive !
Cheers,
Posted Using LeoFinance Beta
Thanks for letting us know. That's looks really interesting. 90% sounds nice.
I'll read that article and make a review at some point. I'll also delegate in the future to try it out...
Cheers! 👊🙂
Thanks for the mention bro. Yeah,delegating to leo.voter can give some steady passive income while supporting a great project. Awesome blog mate. Keep it up!
You're most welcome my man! You gave me inspiration for my post and I had to mention you 👊😃
I understand because I have seen it for myself that when you stake LEO to LEO power the LEO you receive each day for your delegation to @leo.voter increases.
Posted Using LeoFinance Beta
Oh yes, it compounds. If you keep delegating that is...that's fantastic.
ok so I delegate Hive Power and then in return I get just LEO? or LEO and HIVE as well?
Posted Using LeoFinance Beta
Yes, only LEO.
great post! Sure helps people learning about these things. One minor issue though:
I'm quite sure that was part of the engagement project which unfortunately was terminated some time ago.
Posted Using LeoFinance Beta
Oh thanks for dropping your comment. I didn't know that actually.
Cheers!
You're welcome! Guess it happens since posts just stay up indefinitely so if you only find the original/older ones but not the latest update you miss things like that..
Yes, exactly. Good we have a strong community of nice people helping each other 😊
An integral yet still somewhat underrated part of this blockchain
I found those guides late, but they are super good specially for those who just started to be interesting to this blockchain! wp
Posted Using LeoFinance Beta