# Protect your yields with Ledger and Yearn

<!-- <img src="https://i.imgur.com/TDIyvjq.jpg" width="500" height="360" /><br /> -->

The past year has been harsh on users seeking yield. Tempting APY numbers across DeFi and CeFi deceived depositors into trusting people and systems that ultimately led to a huge widespread loss across the crypto ecosystem. At Yearn we mourn the losses, but didn't stop building better alternatives.

We have released 2 recent articles focusing on risk ([Measuring risk for DeFi yield strategies](https://medium.com/iearn/measuring-risk-for-defi-yield-strategies-b53f62b83b92) and [Yearn Strategies Case Study: Lido Staked ETH](https://medium.com/iearn/yearn-strategies-case-study-lido-staked-eth-d21b2a57f79c)): Both cover how the [Yearn Risk Framework](https://docs.yearn.finance/resources/risks/risk-score) mitigates risk when depositing in DeFi yield strategies focusing on the software side. Now we will see how Yearn partnered with Ledger to further protect your yields.

## The importancy of self-custody in DeFi

Why use a hardware wallet (Ledger) and a DeFi protocol (Yearn) to generate yield instead of other alternatives?

A hardware wallet is the best security/convenience trade-off for anyone that is not willing to go too far down the operations security rabbit hole (opsec). If you need to distribute security you can use [Gnosis Safe](https://gnosis-safe.io/) multisigs along with many wallets/trusted signers. Ledger hardware creates a secure environment to store your own wallet keys, and it never connects that environment with internet.

Your funds in a hardware wallet are safe as long as you:
- never share your recovery key
- never sign a transaction with a malicious smart contract

When in doubt if a contract is malicious use a burner wallet like shown below:


Yearn offers the best risk-adjusted yield for DeFi tokens. If you are hodling for the long term, yVaults will keep generating yield tapping into the latest DeFi strategies while also monitoring the strategies, keeping them at an acceptable level of risk. [Yearn's Risk Framework](https://docs.yearn.finance/resources/risks/risk-score) helps users understand and monitor the risks associated with the different yield strategies available. Users can monitor Yearn treasury and vaults using [yearn.vision](https://yearn.vision/) and [yearn.watch](https://yearn.watch/). Unlike CeFi alternatives, Yearn Vaults will always show you exactly cent-by-cent where each deposit is being allocated towards.

<img src="https://i.imgur.com/Y6V6QUL.jpg" width="500" />

<!--  -->

### The difference between using the webapp and the ledger app

The Yearn app validator is an added security layer because it knows Yearn's contracts **(todo: confirm and expand)**

## How to install Yearn on your Ledger device

0) Make sure you have [Ledger Live](https://www.ledger.com/ledger-live) and a Ethereum wallet setup. Yearn offers yield-generating [vaults](https://medium.com/iearn/yearn-finance-explained-what-are-vaults-and-strategies-96970560432) for many tokens in Ethereum, Fantom, Arbitrum, and Optimism. Before making any deposit, it's recommended to read more about:
- [What are yearn vaults and strategies](https://medium.com/iearn/yearn-finance-explained-what-are-vaults-and-strategies-96970560432)
- [What yVaults exist and what strategies they use](https://vaults.yearn.finance/)
- Use [yearn.watch](https://yearn.watch/) and [yearn.vision](https://yearn.vision/) to monitor yearn ([guide](https://medium.com/iearn/diving-into-yearn-metrics-8c3fb0520927))
- [DeFi strategies risks](https://medium.com/iearn/measuring-risk-for-defi-yield-strategies-b53f62b83b92)

1) Install the Yearn + ledger app:


2) Once installed, open the Yearn app in your ledger:



3) Pick a vault and deposit/withdraw:


4) Confirm using the yearn and ethereum app


##