# DAO Liquidity Management

DAOs hold large amounts of their native tokens in a treasury, often not returning any value for the DAO. For the DAOs that want to establish liquidity on DEXs for their token, they must find a way to source the base asset (i.e. SOL, USDC, USDT, mSOL). Since most DAOs do not hold these base tokens, they typically rely on providing inflationary liquidity incentives to other users to LP, or sell off a meaningful percentage of their token supply to a professional market maker.&#x20;

Instead, Delta One's liquidity management product allows DAOs to simply lend their native token, and Delta One finds investors who are willing to take on the other side. For instance, the Raydium DAO lends RAY on the staking vault [here](https://www.deltaone.xyz/#/app/v1/vault/Lend-RAY), and any user can deposit USDC [here](https://www.deltaone.xyz/#/app/v1/vault/Farm-RAY-USDC) to be matched with an equal value of RAY, which are then deposited into the AMM.

How does this benefit the DAO?

* The DAO earns passive yield for its treasury
  * i.e. the RAY vault on Delta One is earning 12-13% APY on deposits.
* Single-sided liquidity provisioning makes it easier for community members to participate in LP'ing
  * i.e. users only need to deposit USDC to start LP'ing on RAY-USDC
* Heavily reducing the reliance on liquidity mining incentives, which result in unnecessary sell pressure on the tokens
* Integrations and monitoring tools across a variety of venues
  * Delta One has integrations to every major AMM on Solana, with audited whitelist code from three security firms.
* Tap into intelligent market makers and users on Delta One that constantly rebalance liquidity to adjust price levels, such as through V3 concentrated liquidity mechanisms.
* Increase the liquidity of the DAO token to promote buy pressure and improve decentralization


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