> For the complete documentation index, see [llms.txt](https://docs.vespr.xyz/vespr/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.vespr.xyz/vespr/user-guide/the-basics/setting-collateral.md).

# Set collateral for older dApps

What collateral is, when an older Cardano dApp needs it, and how to set it in VESPR with Legacy dApp compatibility.

Some older Cardano dApps, built before recent Cardano upgrades, ask your wallet for **collateral** before you can use them: a small amount of ADA set aside in case a smart contract fails. Most dApps don't need it, so only set collateral if a dApp asks for it. VESPR calls this **Legacy dApp compatibility**.

Setting collateral sends 5 ADA from your wallet back to itself, so you need at least 5 ADA available plus a small network fee. The 5 ADA stays yours and stays in your balance.

## Set collateral

1. Open **Legacy dApp compatibility** from any of these places:
   * **Settings**, in the **DeFi Integrations** section. This works on iOS, Android and the browser extension.
   * On iOS and Android, the **Discover** menu (**⋮**).
   * On iOS and Android, the snail icon in the Discover browser bar. The snail is green when collateral is set.

<figure><img src="https://1666257432-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FxmgYWup0cXQteeId2qIa%2Fuploads%2Fgit-blob-ecda442a61da6808e425145df7409a18ea541763%2Fdiscover-menu-ios.png?alt=media" alt="The Discover menu with Edit Favorites, Add New Favorite, Legacy dApp compatibility and Clear Browser Data" width="300"><figcaption><p>The Discover menu. Here collateral is already set.</p></figcaption></figure>

2. Check the network fee shown under the message, then tap **Set collateral**.

<figure><img src="https://1666257432-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FxmgYWup0cXQteeId2qIa%2Fuploads%2Fgit-blob-6d5413185dc0bdd87bbf4f690cd382f2707bc2ee%2Fset-collateral-sheet-ios.png?alt=media" alt="The Legacy dApp compatibility sheet with the network fee and the Set collateral button" width="300"><figcaption><p>Setting collateral costs a small network fee.</p></figcaption></figure>

3. Confirm it's you:

   * on iOS and Android, if you turned on **Unlock with** Face ID, Touch ID, fingerprint or passcode in **Settings**, confirm with it;
   * in the extension, enter your password if asked;
   * with a Ledger or Keystone, approve on the device.

   The button shows **Setting collateral...**, then **Enabled!**.
4. Wait a few minutes for the transaction to be confirmed on the blockchain before you use the dApp.

The menu then shows **Collateral set**. If the collateral is already in place, the button reads **Collateral already set!**.

## Good to know

* **You may need to set it again.** The collateral is an ordinary 5 ADA in your wallet, not locked. A later send or swap can use it, and then the status goes back to **Collateral not set**.
* **There's nothing to remove.** You don't need to undo collateral: the 5 ADA is already in your wallet.
* **Collateral isn't needed to cancel swap orders** in VESPR.
