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Users can create a lending or borrowing position, depending on the Eligible Collateral’s available markets. There are certain tokens which can be lent out (e.g. USDC), while other tokens may only be used as collateral to create a borrow position (e.g. deposit stETH, borrow ETH, with stETH applied towards your portfolio margin).
Further details on applying Eligible Collateral to your Trading Account's portfolio margin can be found in the Risk section.