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Withdrawing involves redeeming PAR/paUSD for the underlying collateral. When redeemed, the system burns PAR/paUSD tokens to repay a vault’s debt. This debt includes any borrowing fees that has accrued on the vault over time.
Users can withdraw their collateral whenever they wish as long as it does not decrease the Vault’s health factor below the minimum amount determined by the MCR. Withdrawing is limited to the Vault’s owner.