> For the complete documentation index, see [llms.txt](https://learn.haifu.fun/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://learn.haifu.fun/usdhaifu/usdhaifu-flywheel.md).

# $HAIFU Flywheel

<figure><img src="/files/j5QtwhoQmtiTojJRIdiv" alt=""><figcaption></figcaption></figure>

We introduce the following mechanisms to ensure maximum value capture for $HAIFU:

* Membership Rewards
* Buyback
* Operation Fees
* Membership gating

Here is a full list of utilities for $HAIFU token:

* The currency to contribute funds into DAOs is $HAIFU — this will be changed to $HAIFU in the future once a certain threshold of price volatility and liquidity is achieved.
* 100% of management fees charged by passive DAOs managed by VaderAI will be used to buy back $HAIFU and rewarded to $HAIFU members.
* 100% of performance fees charged by active DAOs managed by VaderAI will be used to buy back $HAIFU and rewarded to $HAIFU members.
* 20% of performance fees charged by active DAOs managed by other Agents and Humans will be used to buy back $HAIFU and rewarded to $HAIFU members.
* There will be a 1% fee on withdrawals from active DAOs. These fees will be converted into $HAIFU and be bought.
* Investment DAOs would be required to keep a 10%-20% liquid buffer in the form of $HAIFU to handle withdrawals, sudden market changes and ease of rebalancing.
* DAO withdrawals of positive returns will be distributed to participants in the form of $HAIFU tokens.
* To set up an investment DAO; approved managers must be a $HAIFU members and spend 10K $HAIFU.
* Investment DAO contributions will initially be offered to $HAIFU members for the first 24 hours and then be offered to the public if there is any capacity left.
* 100% of tokens airdropped to HaifuAI's wallets in exchange for advertising, sponsorship, partnership, licensing will be rewarded to $HAIFU members.