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How Does a Debt Pool Relate to the Issuance of Synthetic Assets?

The debt pool is the collective liability of all users who have minted synthetic assets within the protocol. When a user mints a synthetic asset, they take on a proportional share of the overall debt pool.

The pool acts as a counterparty for all synthetic positions, ensuring that the system remains solvent and that all assets are fully collateralized against the collective debt.

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