> For the complete documentation index, see [llms.txt](https://docs.aladdin.club/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.aladdin.club/f-x-protocol-new/f-x-2.0/key-functions.md).

# Key Functions

**Minting and Redeeming fxUSD, Opening and Closing xPOSITION:**

* Users can mint fxUSD and open xPOSITION by providing stETH as collateral.
* The system dynamically adjusts leverage ratios and fxUSD minting to maintain stability.

**Rebalancing Operations:**

* Automatically adjusts leveraged positions to safe levels, avoiding liquidation risk.

**Liquidation Mechanism:**

* If rebalancing fails, the protocol initiates liquidation, redeeming associated fxUSD to minimize losses.

**Stability Pool:**

* Provides yield opportunities while acting as a peg protector for fxUSD.
* Maintains price stability through arbitrage operations.