CDP
Last updated
Last updated
In this section, you will learn how to open a CDP, via the web application.
Opening a CDP requires to: (1) deposit some amount of ADA collateral and (2) input a collateral ratio. In exchange, some amount of iAsset will be minted (e.g.: opening a CDP for iBTC requires depositing ADA, in exchange the user will receive iBTC).
1. From the Dashboard page, click on the Open Position button.
2. In the Open Position page you can either:
Option A: let the web app choose for you the amount of iAsset to be minted; or
Option B: choose the amount of iAsset to be minted.
Input a collateral amount or click on one of the button below to pre-fill the input field based on the ADA balance of the connected wallet.
Input a collateral ratio or select one of the pre-defined value.
This will result in the amount of iAsset to be automatically computed.
3. Tick the checkbox, and click on the Open Position button. You will be prompted to sign the transaction. Once the transaction is validated on the blockchain, you will receive the minted iAssets in your wallet.
In this section, you will learn how to deposit collateral to an existing CDP, via the web application.
Once we have opened a CDP, you can interact with it in different ways; one of which is to deposit more collateral.
1. From the Dashboard page, click on the Manage button.
2. Input the collateral amount you wish to deposit or click on one of the button below to pre-fill the input field based on the ADA balance of the connected wallet.
3. Tick the checkbox, and click on the Deposit Collateral button. You will be prompted to sign the transaction. Once the transaction is validated on the blockchain, your CDP will have a higher ADA collateral amount, and its collateral ratio will have increased.
In this section, we will learn how to withdraw collateral from an existing CDP, via the web application.
Withdrawing collateral from a CDP means that you will take out a portion of the collateral that was deposited in the CDP.
1. From the Dashboard page, click on the Manage button.
2. Input the collateral amount you wish to withdraw or click on one of the button below to pre-fill the input field based on the ADA balance of the connected wallet.
3. Tick the checkbox, and click on the Withdraw Collateral button. You will be prompted to sign the transaction. Once the transaction is validated on the blockchain, your CDP will have a lower ADA collateral amount, and its collateral ratio will have decreased.
In this section, you will learn how to mint additional iAssets from an existing CDP, via the web application.
Minting iAssets allows you to obtain more iAssets from an existing CDP. The amount of iAssets that can be minted depends on the current amount of collateral deposited in the CDP.
1. From the Dashboard page, click on the Manage button.
2. Input the amount of iAssets you wish to mint or click on one of the button below to pre-fill the input field based on the current amount of collateral deposited in the CDP.
3. Tick the checkbox, and click on the Mint iAsset button. You will be prompted to sign the transaction. Once the transaction is validated on the blockchain, you will receive the requested amount of iAssets, and your CDP will have a lower collateral ratio.
In this section, you will learn how to burn iAssets from an existing CDP, via the web application.
Burning iAssets allows you to repay your debt. The amount of iAssets that can be burnt depends on the amount of iAssets you minted under the CDP.
1. From the Dashboard page, click on the Manage button.
2. Input the amount of iAssets you wish to burn or click on one of the button below to pre-fill the input field based on total amount of debt you owe (i.e.: the total amount of iAssets you minted under the CDP).
3. Tick the checkbox, and click on the Burn iAsset button. You will be prompted to sign the transaction. Once the transaction is validated on the blockchain, you will have fewer iAssets in your wallet and your CDP will have a higher collateral ratio.
In this section, you will learn how to close a CDP, via the web application.
Closing a CDP allows you repay your debt in full and retrieve the total amount of collateral deposited under the CDP. Closing a CDP is final. If you wish to mint more iAssets, you will need to re-open a CDP.
1. From the Dashboard page, click on the Manage button.
2. Input the total amount of iAssets you had minted, or click on the 100% button below to automatically fill the input field.
3. Tick the checkbox, and click on the Close CDP button. You will be prompted to sign the transaction. Once the transaction is validated on the blockchain, you will have repaid your debt and will have received the total amount of collateral you had deposited.