To become abraded or to be rubbed raw; the surface (skin or material) is worn away by rubbing (intransitive).
新しい靴でかかとが擦り剥けた。
My heel got rubbed raw by the new shoes.
長時間背負っていたバックパックで肩が擦り剥けて痛い。
My shoulder is chafed and sore from carrying the backpack for a long time.
その布は古くて表面が擦り剥けて色が落ちている。
That cloth is old; its surface is worn and the color has faded.