In our context, collateral refers to digital assets that you, as a borrower, pledge to secure a loan. These assets can be USDC, wBTC, wETH, and OP.

Always consider that any asset that is not USDC can be volatile. If the value of your collateral falls significantly, the LTV (Loan-To-Value) ratio may increase beyond the agreed limit. In such cases, you might be required to add more collateral (a margin call) to maintain the loan, or the lender might liquidate (sell off) your collateral to cover the loan value.

You can always set which assets you want as collateral in the settings.