How to Borrow
Depositing Collateral
Connect your wallet
Click “Borrow aeUSDC” or “Deposit”
Enter the amount of sBTC you wish to deposit - note that you must first bridge BTC into Stacks via the sBTC bridge
Confirm the transaction in your wallet
Your collateral remains securely locked in the protocol and is never lent out to other users.
Understanding Borrow Capacity
Your Borrow Capacity is the maximum amount of stablecoins you can borrow based on your collateral. It is calculated based on:
Maximum Loan-to-Value (LTV) ratio set by governance
Total value of your deposited BTC collateral
This is represented as “Collateral Value” in your account overview
Example: If you deposit $10,000 worth of BTC and the maximum LTV is 75%, your maximum borrowing capacity would be $7,500 in stablecoins.
Your Available to Borrow is the amount of stablecoins you can currently borrow. It is calculated based on:
Your Borrow Capacity
Your current Borrowed Amount
Protocol liquidity
Example 1: If your Borrow Capacity is $7,500 and you have a Borrowed Amount of $2,500, your Available to Borrow would be $5,000.
Example 2: If your Borrow Capacity is $7,500 and you have a Borrowed Amount of $2,500 and there is only $3,000 free liquidity in the protocol, your Available to Borrow would be $2,000.
Borrowing
After you have deposited collateral, you can borrow stablecoins.
Connect your wallet
Click “Borrow aeUSDC”
Enter the amount of aeUSDC you wish to borrow - the maximum amount will be indicated in the Borrow modal
Confirm the transaction in your wallet
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