Key Terms

Vault ID: A Vault ID is a unique reference for your vault at Yala.

Stability Fee: Yala protocol collects a Stability Fee on $YU that is generated from Yala Vaults.

Platform Total Collateral Ratio: It is the total collateral ratio of the whole Yala platform for the selected collateral type. When the total collateral ratio is less than the Critical Collateral Ratio, users can only create new vaults that are higher than the Critical Collateral Ratio. Users cannot adjust to further reduce the collateral ratio of any existing vault.

Minimum Collateral Ratio: If the Vault reaches below the minimum collateralization level it is considered undercollateralized and is subject to liquidation. Your collateral will then be collected to cover outstanding debt and liquidation penalty fee.

Critical Collateral Ratio: It is the collateral ratio that sets the threshold for the Platform Collateral Ratio of the selected collateral type. When the total collateral ratio is less than the Critical Collateral Ratio, users can only create new vaults that are higher than the Critical Collateral Ratio. Users cannot adjust to further reduce the collateral ratio of any existing vault.

Liquidation Price: The price at which a Vault becomes vulnerable to liquidation.

Collateralization Ratio: Calculated by the value of your collateral divided by your $YU debt.

Collateral Locked: The total amount of collateral locked in your current vault.

Vault $YU Debt: The total $YU debt in your current vault.This includes the 200 $YU for liquidation cost reserve.

Available to Withdraw: It is the amount of collateral assets that can be withdrawn before your vault becomes undercollateralized and is subject to liquidation. When the Platform Total Collateral Ratio is less than the Critical Collateral Ratio, your pay back $YU value should be greater than the withdrawal value of the collateral.

Available to Mint: It is the amount of additional $YU that can be generated given the collateral value in your current vault. Be careful to keep your vault overcollateralized to avoid liquidation. When the Platform Total Collateral Ratio is less than the Critical Collateral Ratio, Mint $YU under Adjust Vault will be temporarily stopped until the Platform Collateral Ratio is safe again. Users could choose to open a new vault to mint $YU.

Liquidation Penalty: It is the portion of vault collateral value that will be distributed to the Stability Pool if the vault needs to be liquidated. The primary function of Stability Pool is to serve as a liquidation mechanism to absorb liquidated debt and collateral.

Dust Floor: It is the portion of vault collateral value that will be distributed to the Stability Pool if the vault needs to be liquidated. The primary function of Stability Pool is to serve as a liquidation mechanism to absorb liquidated debt and collateral.

Liquidation Cost Reserve: It is the reserved gas fee that is paid to the liquidation executors if the vault needs to be liquidated. The Yala protocol calculates the cost in this way: 200 $YU + min(0.5% of YBTC, 0.05 YBTC). If there is no liquidation, the liquidation cost reserve of 200 $YU will be automatically repaid by the system. The YBTC part of this cost will not be charged until the actual liquidation happens.