# Structure
The Degen Account allows all of this magic to happen. It is what enables the Degenerates to leverage up and boost their trading strategy. In other words: undercollateralized loans. With the Degen Account, Degens can use both their collateral and borrowed funds in their strategy.
The result: the Degens can use more capital for opportunities. They are therefore willing to borrow more. This leads to higher yields for Diamond Hands.
The structure behind the Degen Account is the foundation of DegenPrime. Each Degenerate receives their personal Degen Account. This is a Dedicated Smart Contract (DSC), instead of a personal wallet. While the Degen is fully in charge of the trading strategy in the account, the Degen Account protects the funds within it. For example, Degens cannot send funds to their own wallet, or one of their friends, but only interact with whitelisted protocols and tokens. And, the protocol retains the ability to liquidate positions to protect the funds of Diamond Hands if necessary.
All funds remain in this one dedicated smart contract. It enables Degens to use their full collateral and borrowed funds. They can combine strategies and positions thanks to cross-margin. They are in control, but the Degen Account keeps it safe.
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