# Core Mechanics ## Overview The USDFC Stablecoin Protocol introduces a variety of innovative features that enable users to efficiently mint, manage, and utilize **USDFC**, our decentralized, Filecoin-backed stablecoin. These core mechanics work together to ensure the stability, security, and usability of the protocol. ## What You'll Learn * How to mint USDFC using Filecoin (FIL) as collateral * How the Trove system manages individual collateralized debt positions * How liquidations protect the protocol from undercollateralization * How the redemption mechanism maintains USDFC's peg to the US Dollar * How protocol fees contribute to the system's sustainability ## Key Components * [**The Trove System**](/usdfc-stablecoin/core-mechanics/the-trove-system.md): Individual vaults where users deposit FIL collateral and mint USDFC * [**Mint & Borrow**](/usdfc-stablecoin/core-mechanics/mint-and-borrow.md): The process of creating new USDFC backed by FIL collateral * [**Liquidation**](/usdfc-stablecoin/core-mechanics/liquidation.md): The mechanism for handling undercollateralized positions * [**Redemption**](/usdfc-stablecoin/core-mechanics/redemption.md): The process allowing USDFC holders to exchange for FIL at face value * [**Protocol Fees**](/usdfc-stablecoin/core-mechanics/protocol-fees.md): The fee structure supporting the protocol's long-term sustainability ## Related Resources * [System Overview](/usdfc-stablecoin/core-mechanics/system-overview.md) * [Advanced Topics](/usdfc-stablecoin/advanced-topics.md) * [FAQs](/usdfc-stablecoin/faqs.md) --- # Agent Instructions: 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: ``` GET https://docs.secured.finance/usdfc-stablecoin/core-mechanics.md?ask= ``` The question should be specific, self-contained, and written in natural language. 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.