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Step-by-Step Tutorial: How to Borrow Assets on Juris Protocol

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Borrowing Assets

Once you have established a Borrowing Accountarrow-up-right and pledged collateral, you can draw liquidity against it. Juris Protocol uses a variable interest model where rates are determined by pool utilization.

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Step-by-Step Tutorial

Step

Action

Why It Matters

On-Screen Cues

1. Access Dashboard

Click Borrowing in the main navigation bar.

View all active accounts and their current health.

Account cards showing Collateral & Health Factor.

2. Select Account

Choose an account and click Manage to expand.

Keeps your borrowing strategies and risks isolated.

Expanded card with "Open borrowing position."

3. Initiate Borrow

Click Open borrowing position.

Launches the configuration panel for your loan.

Asset selection modal.

4. Configure

Select asset and enter amount (or use the slider).

Crucial: Review the projected Health Factor and interest rate.

Health Factor gauge (Green/Yellow/Red).

5. Confirm

Click Confirm borrow and sign the transaction.

Funds are transferred to your wallet; interest begins.

Wallet prompt; "Borrow position opened" alert.

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Monitoring Your Health Factor

The Health Factor is a numerical representation of the safety of your loan relative to your collateral.

  • Above 1.5 (Safe): Recommended for most users to weather standard market volatility.

  • 1.1 to 1.5 (Moderate): Requires active monitoring.

  • 1.0 (Liquidation Risk): If your Health Factor hits 1.0, the protocol may liquidate your collateral to repay the debt.

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Pro Tips & Best Practices

[!CAUTION]

Liquidation Risk: Digital asset prices can be volatile. Always maintain a significant buffer in your Health Factor to prevent the loss of your collateral during flash crashes.

  • Stable Balance for Fees: Keep a small amount of $USDC in your Stable Balance to auto-cover interest payments and avoid manual maintenance.

  • Variable Rates: Interest rates adjust based on demand. If a pool becomes highly utilized, your borrowing APR will rise. Check your "Details" tab periodically.

  • Partial Repayments: You don't have to close the whole loan at once. If your Health Factor is dropping, make a partial repayment to instantly improve your account's safety.

  • Diversified Baskets: Using a mix of stablecoins and volatile assets as collateral within one account can help prevent the Health Factor from swinging wildly.

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