> For the complete documentation index, see [llms.txt](https://octolsd.gitbook.io/octolsd-docs/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://octolsd.gitbook.io/octolsd-docs/project-introduction/distribution/usdlsdd/minting.md).

# Minting

## Minting

<figure><img src="https://3277165271-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FRF8NbgwXvRcL7V482OT8%2Fuploads%2FUGJUtOTTeq0VkOuwVUIQ%2Fimage.png?alt=media&amp;token=1c49f843-c140-4d94-a3d3-cab37b376db9" alt=""><figcaption></figcaption></figure>

### Collateral rate

Collateral rate is the ratio between the dollar value of your collateral in the LSDD Protocol and your loans in $LSDD.

Collateral rate = (deposited LSD/ETH \* LSD/ETH's price) / (minted $LSDD \* $LSD's price)

* Safe collateral rate = 160%
  * The collateral rate should be above the safe collateral rate while minting.
* Minimum collateral rate (MCR) = 150%
  * It is the lowest ratio of loan to collateral that will not trigger a liquidation under normal operations
* Recommended collateral rate = 200%
  * To keep your funds safe and avoid getting liquidated, a collateral rate higher than 200% is recommended.

### Repayment

Repayment is the process corresponding to minting. As long as minters maintain a collateral ratio above MCR, they can repay the $LSDD debt at any time, and then withdraw the ETH collateral.

In addition, there is no fee for repayment and no specified repayment period for debt.