> For the complete documentation index, see [llms.txt](https://docs.ducatprotocol.com/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.ducatprotocol.com/welcome.md).

# Welcome

Borrow UNIT against native BTC collateral held in Bitcoin vaults.

Ducat is a Bitcoin metaprotocol for borrowing UNIT against native BTC collateral. UNIT is designed to target approximately one US dollar.

BTC collateral stays in Bitcoin vault outputs. Bitcoin enforces their cryptographic spending conditions, guardians check and co-sign protocol operations, and Ducat validators reconstruct vault state and active UNIT balances from Bitcoin history.

The [UNIT/USD parameter reference](/how-ducat-works/protocol-parameters.md) documents a published mainnet anchor with a 160% borrowing floor and 135% liquidation threshold ratio. These values are risk parameters, not a guarantee of collateralisation or price stability at all times.

DUCAT is the planned governance token; the protocol's data model supports a Bitcoin Rune governance asset. The [governance section](/governance/governance.md) distinguishes this design from the configured UNIT asset and does not claim that tokenholder voting is operational.

Start with [How Ducat Works](/how-ducat-works/overview.md), or read the [Trust Assumptions](/trust-assumptions/overview.md) before opening a vault.

<table data-view="cards"><thead><tr><th></th><th data-hidden data-card-cover data-type="image">Cover image</th><th data-hidden data-card-target data-type="content-ref"></th><th data-hidden data-type="files"></th></tr></thead><tbody><tr><td>DUCAT</td><td><a href="https://3381100491-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FZOzQaoopNKdgkYJmuRPt%2Fuploads%2Fgit-blob-dcd19839cec87bc11096a0dbed073a84c63a8a2f%2Fgitbook-ducat-card.png?alt=media">gitbook-ducat-card.png</a></td><td><a href="/ducat/the-ducat-protocol.md">The Ducat Protocol</a></td><td><a href="https://3381100491-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FZOzQaoopNKdgkYJmuRPt%2Fuploads%2Fgit-blob-66ec46ef6cae74dce20da5c6184a10784dde2217%2FScreenshot%202025-02-19%20at%2002.39.13.png?alt=media">Screenshot 2025-02-19 at 02.39.13.png</a></td></tr><tr><td>UNIT</td><td><a href="https://3381100491-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FZOzQaoopNKdgkYJmuRPt%2Fuploads%2Fgit-blob-a2caa9d5910d623d8a863168e131254710927388%2Fgitbook-unit-card-and-logo.png?alt=media">gitbook-unit-card-and-logo.png</a></td><td><a href="/unit/philosophy.md">Philosophy</a></td><td></td></tr><tr><td>HOW DUCAT WORKS</td><td><a href="https://3381100491-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FZOzQaoopNKdgkYJmuRPt%2Fuploads%2Fgit-blob-ac1a2e1a6fd0ba4f88fd2205ad60e1f70c382a8d%2Fgitbook-how-ducat-works-card.png?alt=media">gitbook-how-ducat-works-card.png</a></td><td><a href="/how-ducat-works/overview.md">Overview</a></td><td></td></tr><tr><td>LIQUIDATIONS</td><td><a href="https://3381100491-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FZOzQaoopNKdgkYJmuRPt%2Fuploads%2Fgit-blob-d5d693cea3f40782329d0c94be48b8efd663eaf7%2Fgitbook-liquidations-card.png?alt=media">gitbook-liquidations-card.png</a></td><td><a href="/liquidations/basic-mechanics.md">Basic Mechanics</a></td><td></td></tr><tr><td>TRUST ASSUMPTIONS</td><td><a href="https://3381100491-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FZOzQaoopNKdgkYJmuRPt%2Fuploads%2Fgit-blob-0b3d7986e731c29de938331172c01aed21576e58%2Fgitbook-trust-assumptions-card.png?alt=media">gitbook-trust-assumptions-card.png</a></td><td></td><td></td></tr><tr><td>GOVERNANCE</td><td><a href="https://3381100491-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FZOzQaoopNKdgkYJmuRPt%2Fuploads%2Fgit-blob-7f415b264fac56fdc569799df617629b209ba4a3%2Fgitbook-governance-card.png?alt=media">gitbook-governance-card.png</a></td><td><a href="/governance/governance.md">Governance</a></td><td></td></tr></tbody></table>