> For the complete documentation index, see [llms.txt](https://docs.sumero.finance/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.sumero.finance/frequently-asked-questions/faq-sections/collateral.md). # Collateral #### What is collateral? Collateral is a financial concept that means something you put up as a guarantee when borrowing money. If you can’t pay back your loan, your collateral will be used to pay your debt. An easy example is when you take a house loan from a bank, the house you bought will be the collateral; if you can’t pay back your loan, the bank will take your house. It is exactly the same in DeFi; if you want to borrow or mint assets from the protocol, you will need to give the protocol some other assets as collateral. If you don’t pay back your loan or asset position, the protocol will not give you back your collateral. --- # Agent Instructions This documentation is published with GitBook. GitBook is the documentation platform designed so that both humans and AI agents can read, navigate, and reason over technical content effectively. Learn more at gitbook.com. ## Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter, and the optional `goal` query parameter: ``` GET https://docs.sumero.finance/frequently-asked-questions/faq-sections/collateral.md?ask=&goal= ``` `ask` is the immediate question: it should be specific, self-contained, and written in natural language. `goal` is optional and describes the broader end goal you are ultimately trying to accomplish on behalf of the user. GitBook uses it to tailor the answer towards what is most useful for that goal. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.