Fortress users can choose to borrow assets, but must first supply collateral to the protocol. When borrowing assets, users must be over-collateralized on the loan, meaning the maximum loan to value of the supplied assets must be no greater than the max collateral ratio will allow for each money market.
Fortress gives investors the ability to use your fToken collateral to borrow assets from the protocol instantly. Loans can be paid off at any time, there are no maturity dates, and there are never any trading fees, slippage, monthly payments or late fees. To pay the loan back, and retrieve your collateral, borrowers must pay off the entire origination balance, as well as any compounded interest that accrued during the life of the loan.
For example; If a user supplied $1,000 in BTC to the protocol, they will be allowed to borrow up to the max collateral ratio for BTC, which for example is 70%. This means that the user would supply $1,000 BTC, immediately begin earning compounded interest, and then be given the ability to mint or borrow $700 more in assets.