Secured Finance User Guide

Collateral Management

Test-Pilot Trading

Secured Finance Official
Published in
5 min readMar 31, 2023


Once you have Test Tokens to play with on the Secured Finance app, the first step is to deposit collateral. It is essential to cover counterparty risks, and is mandatory before borrowing any currencies. This guide explains how to deposit and withdraw collateral to manage your position’s liquidation risk.

First, check your account is connected. You can see on the Borrowing button labeled ‘Deposit collateral to borrow’. So let’s now move to ‘Portfolio Management’ page.

On this page, the left component is for collateral management. You can check your collateral balance, utilization, and liquidation risk. Now you don’t have any collateral deposited, so let’s deposit some USDC from your MetaMask wallet.

Click the ‘Deposit’ button and you can select the currency.

You have the choice between ETH and USDC. We are evaluating the potential use of other currencies. Since Goerli ETH isn’t easy to get, you want to deposit USDC as a collateral. (We have moved to Sepolia!)

You can easily set the amount. Let’s deposit 50% of your USDC which you can withdraw, at any time, later.

This pop-up is a MetaMask’s safety feature to avoid an incorrect transfer amount being transacted.

After you approve the spending cap, you are going to deposit collateral.

The deposit wasn’t successful. If it failed, it may be that you either don’t have enough ETH, to pay for the gas, or you need to check the collateral amount.

Now you can see the USDC amount, shown as collateral assets.

On MetaMask, you can see your USDC has been transferred to the collateral smart contract.

Let’s withdraw some collateral by clicking the ‘Withdraw’ button.

Please select the asset you want to withdraw. Please note this toggle always sets FIL, but sometimes it remembers the previous choice. Therefore please don’t rely on the default value, and make sure you select the correct asset. (This behaviour is going to be fixed soon.)

Select USDC and set the withdrawal amount.

Click ‘Continue’ to execute the withdrawal.

You see, the network is busy, and the gas price is high.

If you don’t have enough ETH, you can’t execute this order. MetaMask says we can Buy SepoliaETH with the link, but we see the service isn’t working. So we go to Alchemy’s Sepolia Faucet again.

Note that the Sepolia faucet sends once per day.

If you try within 24 hours, you’ll see this message. So please wait, or use PoW Sepolia Faucet if you have powerful machine.

Now I got some Sepolia ETH, I can continue.

Withdrawal was successful.

You can see that the collateral balance is properly updated.

In MetaMask, you can see you’ve received the withdrawn USDC.

Step-by-Step Guide Series

DeFi Apps Onboarding Guide

This guide will walk you through the steps you need to take to start using DeFi apps. You’ll learn how to set up your MetaMask wallet, connect it to DeFi apps, and get test ETH from Sepolia faucets.

  1. Setting up MetaMask Wallet
  2. Connecting Your Wallet
  3. Getting Test ETH from Sepolia Faucets

Secured Finance User Guide

This guide offers a concise walkthrough of the platform, covering key aspects from preparing test tokens and managing collateral to executing transactions. It also delves into advanced trading strategies that are unique to Secured Finance.

  1. Preparing Test Tokens for Practice
  2. Collateral Management (This Article)
  3. Borrowing with Simple UI
  4. Lending with Simple UI
  5. Trading at Pre-Open Order Book (Itayose)
  6. Placing Limit Order
  7. Add/Reduce or Unwind Position

Secured Finance Official Links
Website | Twitter | GitHub | Galxe | Link3 | Guild