> For the complete documentation index, see [llms.txt](https://docs.laso.finance/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.laso.finance/token/token-value-accrual.md).

# Token Value Accrual

LASO is a MetaDAO token, the ultimate version of a utility token, with high degrees of optionality for value accrual.

The LASO token is an ownership token. Holders have claims on the company's:

1. Treasury&#x20;
2. Intellectual property (IP)

And importantly, major business decisions (including all actions regarding the treasury) are resolved via [decision markets in proposals](https://docs.metadao.fi/governance/overview).

{% hint style="info" %}
LASO is a standard MetaDAO token, so these mechanics have been tested by [other tokens launched on the platform](https://www.metadao.fi/projects).
{% endhint %}

## Guardrails

Before we get into value accrual, let's cover the tools for preventing loss.

It's important to note that the treasury is **not** controlled by the team. The team receives a pre-determined monthly allowance. For Laso Finance, that amount is $50k.

Any changes to the treasury are delivered via proposals.&#x20;

Proposals are not just voted on, but decided by the market. It prevents the team or others from pushing through proposals through super-voting rights, or creating proposals with no financial risk.

## Treasury NAV + Revenue Flows

The LASO treasury starts with the total amount raised from the ICO; a minimum of $750k. That amount is spent down via the team monthly allowance and via proposals.

{% hint style="info" %}
To see other MetaDAO eco companies, their NAV, and multiple to NAV (mNav) check [01Resolved](https://www.01resolved.com/).
{% endhint %}

To counteract funds leaving, revenue will start flowing back into the treasury after the first team allowance is received, one month after launch. At a minimum, that helps the token valuation to stay **above the launch NAV**.

Given that Laso Finance is net profitable pre-TGE (Token Generation Event), we hope and plan to return to that status shortly after launch, even while executing on our new and bigger objectives.

## Accrual Mechanisms

We have covered some ways we expect to prevent token value decline.&#x20;

How does it increase in value?

### Discounted Cash Flows (DCF)

The intuition is that LASO value accrual relies on similar mechanics that drive value accretion for public company stocks.&#x20;

The market values public shares based on their discounted cash flows (DCF). Shareholders have rights to vote on major business decisions. Shareholders exercise their voting rights to receive economic value through dividends or stock buybacks.

Similarly, LASO token holders have rights to the Laso Finance IP, and the Laso Finance treasury. Holders can enact proposals to decide how to handle the treasury, even including liquidation.

### Concrete Implementations

More broadly, if token holders decide that the best thing for the business is discounted fees, fee-free cards, buybacks, dividends, acquisitions, or something entirely different, those ideas can be proposed and voted on by the market.

If the most accretive utility as decided by the market is that holders of over X number of LASO tokens receive 0% fees, then that is what is enacted.

That gives the broadest possibility of utilities for the token. Importantly, the utility features are not decided unilaterally by the team.&#x20;

They are decided by you, the holder.&#x20;