A DAO is a community with a mission and a treasury.
The funds in an investment DAO can only be used to buy other SPL tokens. Any token available on the Jupiter API can be purchased.
This DAO structure was originally designed for groups of friends wanting to trade memecoins with each other.
dao lifecycle
- Users contribute funds to the DAO via a “raise” or “party round.”
- Users receive DAO tokens in return.
- The creator trades the pooled assets (the AUM) on-chain.
- The DAO expires and the treasury (AUM) wallet is locked.
- DAO tokens can be burned to redeem the DAO’s assets.