# Glossary

| Term               | Definition                                                                                                                         |
| ------------------ | ---------------------------------------------------------------------------------------------------------------------------------- |
| **CDP**            | Collateralized Debt Position — a vault where users lock assets to mint VUSD.                                                       |
| **VUSD**           | Virtue’s native over-collateralized stablecoin.                                                                                    |
| **ICR**            | Individual Collateral Ratio — the collateral-to-debt ratio of a single CDP.                                                        |
| **MCR**            | Minimum Collateral Ratio — the minimum required ratio to avoid liquidation.                                                        |
| **Stability Pool** | A shared pool of VUSD used to repay debt from liquidated positions, in exchange for discounted collateral.                         |
| **Flash Mint**     | A mechanism that allows users to mint VUSD without collateral within a single transaction, typically for liquidation or arbitrage. |
