diff --git a/CHANGELOG.md b/CHANGELOG.md
index 3fb83798fc6a..e46eb7bdf95c 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -38,6 +38,10 @@ Ref: https://keepachangelog.com/en/1.0.0/
 
 ## [Unreleased]
 
+### Bug Fixes
+
+* [\#9766](https://github.com/cosmos/cosmos-sdk/pull/9766) Fix hardcoded ledger signing algorithm on `keys add` command.
+
 ### Features
 
 * [\#9750](https://github.com/cosmos/cosmos-sdk/pull/9750) Emit events for tx signature and sequence, so clients can now query txs by signature (`tx.signature='<base64_sig>'`) or by address and sequence combo (`tx.acc_seq='<addr>/<seq>'`).
diff --git a/client/keys/add.go b/client/keys/add.go
index ee006231ace2..22cc8a61f755 100644
--- a/client/keys/add.go
+++ b/client/keys/add.go
@@ -278,8 +278,9 @@ func runAddCmd(ctx client.Context, cmd *cobra.Command, args []string, inBuf *buf
 
 	// If we're using ledger, only thing we need is the path and the bech32 prefix.
 	if useLedger {
-		bech32PrefixAccAddr := ctx.AddressPrefix
-		k, err := kb.SaveLedgerKey(name, hd.Secp256k1, bech32PrefixAccAddr, coinType, account, index)
+		bech32PrefixAccAddr := sdk.GetConfig().GetBech32AccountAddrPrefix()
+
+		info, err := kb.SaveLedgerKey(name, algo, bech32PrefixAccAddr, coinType, account, index)
 		if err != nil {
 			return err
 		}
diff --git a/crypto/keyring/keyring.go b/crypto/keyring/keyring.go
index ef3b0a16df08..cb56990564da 100644
--- a/crypto/keyring/keyring.go
+++ b/crypto/keyring/keyring.go
@@ -420,14 +420,17 @@ func (ks keystore) SignByAddress(address, msg []byte, signMode signing.SignMode)
 
 func (ks keystore) SaveLedgerKey(uid string, algo SignatureAlgo, hrp string, coinType, account, index uint32) (*Record, error) {
 	if !ks.options.SupportedAlgosLedger.Contains(algo) {
-		return nil, errorsmod.Wrap(ErrUnsupportedSigningAlgo, fmt.Sprintf("signature algo %s is not defined in the keyring options", algo.Name()))
+		return nil, fmt.Errorf(
+			"%w: signature algo %s is not defined in the keyring options",
+			ErrUnsupportedSigningAlgo, algo.Name(),
+		)
 	}
 
 	hdPath := hd.NewFundraiserParams(account, coinType, index)
 
 	priv, _, err := ledger.NewPrivKeySecp256k1(*hdPath, hrp)
 	if err != nil {
-		return nil, errorsmod.Wrap(ErrLedgerGenerateKey, err.Error())
+		return nil, fmt.Errorf("failed to generate ledger key: %w", err)
 	}
 
 	return ks.writeLedgerKey(uid, priv.PubKey(), hdPath)
diff --git a/crypto/keyring/keyring_ledger_test.go b/crypto/keyring/keyring_ledger_test.go
index 244e877f1747..614017c65101 100644
--- a/crypto/keyring/keyring_ledger_test.go
+++ b/crypto/keyring/keyring_ledger_test.go
@@ -104,8 +104,9 @@ func TestAltKeyring_SaveLedgerKey(t *testing.T) {
 	require.NoError(t, err)
 
 	// Test unsupported Algo
-	_, err = kr.SaveLedgerKey("key", notSupportedAlgo{}, "cosmos", 118, 0, 0)
-	require.True(t, errors.Is(err, ErrUnsupportedSigningAlgo))
+	_, err = keyring.SaveLedgerKey("key", notSupportedAlgo{}, "cosmos", 118, 0, 0)
+	require.Error(t, err)
+	require.Contains(t, err.Error(), ErrUnsupportedSigningAlgo.Error())
 
 	k, err := kr.SaveLedgerKey("some_account", hd.Secp256k1, "cosmos", 118, 3, 1)
 	if err != nil {
diff --git a/crypto/ledger/ledger_secp256k1.go b/crypto/ledger/ledger_secp256k1.go
index 67dcc73981ab..b5efe2bf9b5b 100644
--- a/crypto/ledger/ledger_secp256k1.go
+++ b/crypto/ledger/ledger_secp256k1.go
@@ -341,7 +341,7 @@ func getPubKeyUnsafe(device SECP256K1, path hd.BIP44Params) (types.PubKey, error
 func getPubKeyAddrSafe(device SECP256K1, path hd.BIP44Params, hrp string) (types.PubKey, string, error) {
 	publicKey, addr, err := device.GetAddressPubKeySECP256K1(path.DerivationPath(), hrp)
 	if err != nil {
-		return nil, "", fmt.Errorf("%w: address rejected for path %s", err, path)
+		return nil, "", fmt.Errorf("%w: address rejected for path %s", err, path.String())
 	}
 
 	// re-serialize in the 33-byte compressed format