# Stability Pool Liquidations

When a Vault is liquidated, the amount of EURO3 corresponding to the remaining Vault debt is burned from the Stability Pool’s balance to repay its debt. In exchange, the **entire collateral** from the Vault is pro-rata distributed among Stability Providers.

Stability Providers can immediately withdraw the collateral received from liquidations and sell it to reduce their exposure to collateral tokens.&#x20;
