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Polkadot.{js} Installation Guide: How to Install a Digital Wallet and Stake KSM on Parallel Finance

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Parallel Finance

6 min readAug 5, 2021

What is Polkadot?

Polkadot is a blockchain with interoperable features, which allows platforms to launch their own chains on Polkadot. The Polkadot community refers to these chains as ‘parachains.’ Parallel Finance is one specific platform that will launch a parachain on Polkadot. Each parachain connects directly to Polkadot via the ‘relay chain,’ which allows for shared security. The community votes for which projects can build parachains on Polkadot via auctions. Parallel’s parachain auction will be happening imminently. Anyone can participate and earn PARA by doing so. Follow Parallel on Twitter to stay up to date on all of our announcements.

What is Parallel Finance?

Parallel is a money market and staking platform beginning on Polkadot. It is currently live on testnet, and you can access it using Polkadot.{js}, as we will discuss at the end of this article. Parallel’s primary offering is a feature called margin staking, which allows users to stake and lend at the same time, earning dual interests with the same underlying capital. Parallel will be launching on Kusama, Polkadot’s “canary network” first, and KSM is the primary token of that network. At the end of the article, we will show you how to use our platform to stake KSM on Parallel. If you have any questions at all, feel free to reach out to us in our community Discord channel.

What is Polkadot{.js}?

The Polkadot{.js} wallet extension is a digital wallet that anyone can use to participate and engage in all the things Polkadot has to offer — things like DeFi, gaming, digital art, social media, and more. Any project that expresses its intention to launch a parachain will be accessible through the Polkadot.{js} wallet.

A closer look: Digital wallets are quite integral to the functioning of blockchain. They’re an intermediary that makes the magic of cryptography possible. Cryptography by definition enables users to pass secure messages in an unsecure environment. The digital wallet performs the action of passing these messages for the user by storing the user’s mnemonic phrase and private keys, which effectively execute transactions. This is why you should never give anyone these pieces of information. If you share your private key or mnemonic phrase with anyone, they will have access to your account and all the funds in it. For more information, see point five under ‘Further Reading.”

Wallet Installation:

To install the Polkadot.{js}, follow the short guide below. If you want to take a deeper dive into digital wallets, and other cryptographic primatives,

1. Go to the Chrome web store for Chrome, or the Firefox Add-Ons for Firefox. Make sure that you are downloading the correct plug in.

2. Once you have downloaded the extension, you can activate it in your toolbar by clicking the icon. You will be asked to understand a few points, which reiterate the fact that you should never share information. After you have read them, click ‘Understood, let me continue.’

3. Now you can generate your first account address. Click the plus sign in the center of the fuzzy parallelogram, as below.

4. Next you will see a screen that displays your mnemonic phrase. To continue, you will need to copy and paste your mnemonic phrase, or (ideally) write it down so that you have back up for your password after your account generation is complete. I have blocked out my mnemonic phrase in red, so that you remember never to share your mnemonic phrase with anyone. When you’re ready, check the box, and click ‘Next step.’

5. Next, you will need to name your account, and create a password. After you have done this, click the orange button, when you are ready.

That’s it! Now you should have your wallet, a well-stored random password, and secret mnemonic phrase, and a functioning digital wallet. Now you can use your Polkadot.{js} wallet to access the lending and staking functions on Parallel.

How to Stake on Parallel via Polkadot.{js}

1. Go to Parallel and click ‘App’ in the upper right hand corner. Your digital wallet will automatically open, asking you to allow Parallel to your account. When you are ready, click the orange button, as below.

2. From the navigation, click into ‘Staking’ and you will see the toggle for stake and unstake. Below, you will see the list of validators and their score (0–100, where 100 indicates very low risk of slash). This score is algorithmically derived and determines the highest performing nodes. You can also find out more information on each validator by clicking into it and a new tab will open taking you to the polkadot validator stats page.

3. Make sure you’re on the Stake portion. You will be able to see how much KSM you can stake by looking at the amount below the text box.

4. Select a percentage or enter an amount you want to stake.

5. Click Submit and confirm in the polkadot.{js} confirmation pop up.

6. From the overview page, you will be able to view your total staked assets.

Disclaimer:

This article contains forecasts, projections, goals, plans, and other forward-looking statements regarding Parallel’s financial results and other data. Such forward-looking statements are based on Parallel’s assumptions, estimates, outlook, and other judgments made in light of information available at the time of preparation of such statements and involve both known and unknown risks and uncertainties. Accordingly, plans, goals, and other statements may not be realized as described, and actual financial results, success/failure or progress of development, and other projections may differ materially from those presented herein. Even when subsequent changes in conditions or other circumstances make it preferable to update or revise forecasts, plans, or other forward-looking statements, Parallel disclaims any obligation to update or revise this article. Information concerning risk or returns (including features under development) contained herein is not intended as advertising or as financial advice.