# Setting Collateral

Within the Cardano blockchain, collateral serves as a mechanism to ensure the successful execution of smart contracts. Its purpose is to provide a guarantee that nodes involved in the process receive fair compensation for their efforts. As long as the collateral remains intact (which is a highly unlikely scenario), you retain the ability to withdraw it whenever desired, allowing for flexibility and control over your assets.

This page shows how its possible to set collateral for each of the wallet types supported on Clarity

* [Nami](#nami)
* [Eternl](#eternl)

For mainnet, you'll need a bit over 5 ADA to set collateral. For testnet, you'll need tADA, which you can get from the [Cardano Testnet Faucet](https://docs.cardano.org/cardano-testnet/tools/faucet/).

## Nami

**Step 1: Click your profile in the top right**

<figure><img src="/files/MrGYFPC62azKLhD2Y98Q" alt="" width="375"><figcaption></figcaption></figure>

**Step 2: Click 'Collateral'**

<figure><img src="/files/xOf4Q8OoEC68brAXZxQm" alt="" width="375"><figcaption></figcaption></figure>

**Step 3: Enter your password to set collateral.**

<figure><img src="/files/Qmc3HkNoPHpx39wA9qnP" alt=""><figcaption></figcaption></figure>

## Eternl

**Step 1: Click 'Settings'**

<figure><img src="/files/o4fpqaiRTKqvlpoX1PlT" alt=""><figcaption></figcaption></figure>

**Step 2: Enable the collateral toggle.**

<figure><img src="/files/N7E7ZocJJHnIDIldtImq" alt=""><figcaption></figcaption></figure>

**Step 3: In the expanded Collateral section, click 'Set Collateral'**

<figure><img src="/files/aaUE4eOWRsxNvcWAoOut" alt=""><figcaption></figcaption></figure>


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