> 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

DUCAT || UNIT is the first Bitcoin L1-native, decentralised stablecoin.

Ducat Protocol and its stablecoin, UNIT, form an overcollateralised primitive for Bitcoin-native DeFi, with DUCAT as its planned governance token.

Recent innovations in Bitcoin programmability have enabled BTC-Fi to begin closing the gap with EVM-based competitors. For the first time, this makes it possible to launch a stablecoin backed by native BTC. UNIT is 160% overcollateralised with BTC, with governance planned through the DUCAT token.

DUCAT is planned as an Ethereum ERC-20 governance token. The token contract has not yet been deployed. Ducat’s credit system, BTC collateral and loan state remain on Bitcoin Layer 1. For more details, see the governance section.

<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%2Ft7oh1h7e98uOZ3b4Qs4o%2FIMAGE%202025-09-02%2012_56_57.jpg?alt=media&amp;token=24467ab2-c912-4a4d-8e98-884ca33d2806">IMAGE 2025-09-02 12_56_57.jpg</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%2FcEEewO5evDfshv4CKpzH%2FScreenshot%202025-02-19%20at%2002.39.13.png?alt=media&amp;token=f9d9831d-23e7-4b8e-a809-d2e85318970f">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%2Feds61WP1xoAiykqjRZRX%2FIMAGE%202025-09-02%2012_57_01.jpg?alt=media&amp;token=f8dfc935-2eeb-4b29-a44e-b2cdfac5b758">IMAGE 2025-09-02 12_57_01.jpg</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%2FhpoCLhNdxhwapiQqOdqy%2FIMAGE%202025-09-02%2012_57_04.jpg?alt=media&amp;token=b0c7fc10-d233-4f52-9078-07749b63b71a">IMAGE 2025-09-02 12_57_04.jpg</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%2FK0JoHZgToxUM9cPzIQo6%2FIMAGE%202025-09-02%2012_57_07.jpg?alt=media&amp;token=dd61f2b0-7809-4458-8074-a60ff074f9ab">IMAGE 2025-09-02 12_57_07.jpg</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%2F52rlksSJ4aEu6HmJnhA0%2FIMAGE%202025-09-02%2012_57_10.jpg?alt=media&amp;token=9919115a-beec-4161-ab9a-29e1445998b3">IMAGE 2025-09-02 12_57_10.jpg</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%2FgF6ojA5tMLUn80m0lKwn%2FIMAGE%202025-09-02%2012_57_13.jpg?alt=media&amp;token=d25e0da3-69f4-41bf-98b8-79e1a37e4a04">IMAGE 2025-09-02 12_57_13.jpg</a></td><td><a href="/governance/governance.md">Governance</a></td><td></td></tr></tbody></table>