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Zero slippage for BraleIssued-stablecoin USDC swaps?

I think I follow the idea behind the mint/burn mechanics enabling zero slippage for BraleIssued-stablecoin to BraleIssued-stablecoin swaps. However, suppose that a trader has a BraleIssued-stablecoin that she wants to trade for USDC. Since Brale doesn't have the ability to mint USDC, what are the mechanics here? Does the protocol hold a quantity of USDC for this purpose? If so, how is that managed? Does the protocol mint UDSC with reserve USD through Circle? Thanks!