# The core mechanism

Tabs are minted by depositing Bitcoin reserves into vaults through smart contracts in the Tab Protocol. Users can manage this process via ShiftCTRL’s native user interface, **QWERTY**.

## Minting Tabs

1. **Create a vault**: Users start by creating a vault to deposit their Bitcoin reserves. These vaults are non-custodial, meaning users have full control over their reserves as long as they meet the required reserve ratio.
2. **Deposit reserves**: After creating a vault, users specify and deposit the amount of Bitcoin they want to use as reserves.
3. **Mint Tabs**: With the reserves in place, users can mint Tabs up to the Minimum Reserve Ratio. 
   * *<mark style="color:orange;">For instance, if you have 2 Bitcoins in your vault, and each Bitcoin is worth 60,000 ⓢUSD, and the MRR is 180%, you can mint up to 66,666.66 ⓢUSD (calculated as 2\*60,000/1.8).</mark>*

## Withdrawing reserves

Vault owners can withdraw their Bitcoin reserves at any time by burning the corresponding amount of Tabs, as long as the reserve requirements are met.