# How Do DAOs Generate Revenue to Fund Their Treasury? ⎊ Path

**Published:** 2025-12-04
**Author:** Greeks.live
**Categories:** Path

---

## How Do DAOs Generate Revenue to Fund Their Treasury?

DAOs generate revenue through various methods depending on their purpose. Many DeFi (Decentralized Finance) DAOs earn revenue from fees generated by their protocol, such as transaction fees, swap fees, or interest on loans.

Other DAOs may sell their native tokens to investors during a funding round. Investment DAOs generate returns from the assets they manage.

Additionally, some DAOs create and sell products or services, with the profits flowing back to the treasury. These revenue streams are used to fund operations, reward contributors, and grow the ecosystem.

- [How Does Tokenization of Existing Assets Create New Revenue Streams?](https://learn.greeks.live/path/how-does-tokenization-of-existing-assets-create-new-revenue-streams/)

- [How Can a DAO Use Its Treasury to Participate in Yield Farming or Staking to Generate Revenue?](https://learn.greeks.live/path/how-can-a-dao-use-its-treasury-to-participate-in-yield-farming-or-staking-to-generate-revenue/)

- [How Do DAOs Manage Their Treasury Funds?](https://learn.greeks.live/path/how-do-daos-manage-their-treasury-funds/)

- [How Does the Cost of Option Premiums Impact the Overall Treasury Return?](https://learn.greeks.live/path/how-does-the-cost-of-option-premiums-impact-the-overall-treasury-return/)

- [How Does a DEX Generate Revenue beyond Transaction Fees?](https://learn.greeks.live/path/how-does-a-dex-generate-revenue-beyond-transaction-fees/)

- [What Is the Concept of ‘Real Yield’ and How Can a Treasury Generate It?](https://learn.greeks.live/path/what-is-the-concept-of-real-yield-and-how-can-a-treasury-generate-it/)

- [How Does the SEC Distinguish between an Initial Sale and Secondary Sales under Securities Law?](https://learn.greeks.live/path/how-does-the-sec-distinguish-between-an-initial-sale-and-secondary-sales-under-securities-law/)

- [How Does the SEC’S “framework For’Investment Contract’ Analysis of Digital Assets” Address Pre-Sales?](https://learn.greeks.live/path/how-does-the-secs-framework-for-investment-contract-analysis-of-digital-assets-address-pre-sales/)

## Glossar

### [Revenue Streams](https://learn.greeks.live/area/revenue-streams/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)

Yield ⎊ Cryptocurrency revenue streams frequently originate from yield-bearing activities, differing significantly from traditional finance due to the composability and accessibility of decentralized protocols.

### [DAOs](https://learn.greeks.live/area/daos/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)

Governance ⎊ DAOs, or Decentralized Autonomous Organizations, represent a novel application of smart contract technology to organizational structure within the cryptocurrency ecosystem, extending into options trading and financial derivatives.

### [Investment Daos](https://learn.greeks.live/area/investment-daos/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)

Governance ⎊ Investment DAOs utilize a decentralized governance model where members vote on proposals related to capital allocation and investment strategies.

## Discover More

### [How Does a 'Multi-Sig' Wallet Function in the Context of a DAO Treasury?](https://learn.greeks.live/path/how-does-a-multi-sig-wallet-function-in-the-context-of-a-dao-treasury/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![How Does a 'Multi-Sig' Wallet Function in the Context of a DAO Treasury?](https://learn.greeks.live/wp-content/uploads/2025/10/Macro-Visualization-of-Hardware-Security-Module-Cryptographic-Key-Material-Securitization-Mechanism.webp)

Requires multiple private keys (signatures) to authorize a transaction, used as a secure custodian for treasury or an emergency mechanism.

### [What Are the Common Causes for a Miner to Generate an "Invalid Share"?](https://learn.greeks.live/path/what-are-the-common-causes-for-a-miner-to-generate-an-invalid-share/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![What Are the Common Causes for a Miner to Generate an "Invalid Share"?](https://learn.greeks.live/wp-content/uploads/2025/10/Advanced-Cryptographic-Hardware-Wallet-Deployment-Mechanism-Featuring-Retractable-Stabilizer-Fins-and-Internal-State-Machine-Components.webp)

Hardware errors, software bugs, aggressive overclocking, or a malicious attempt to submit a fabricated proof-of-work.

### [How Can a DAO Use Its Treasury to Participate in Yield Farming or Staking to Generate Revenue?](https://learn.greeks.live/path/how-can-a-dao-use-its-treasury-to-participate-in-yield-farming-or-staking-to-generate-revenue/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![How Can a DAO Use Its Treasury to Participate in Yield Farming or Staking to Generate Revenue?](https://learn.greeks.live/wp-content/uploads/2025/10/Crystalline-Geometric-Structure-Modeling-Decentralized-Autonomous-Organization-Governance-Mechanism-Evolution.webp)

Allocating non-native assets to audited DeFi protocols to generate passive revenue for operations and growth.

### [What Is an Options Vault and How Does It Generate Yield for a DAO Treasury?](https://learn.greeks.live/path/what-is-an-options-vault-and-how-does-it-generate-yield-for-a-dao-treasury/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![What Is an Options Vault and How Does It Generate Yield for a DAO Treasury?](https://learn.greeks.live/wp-content/uploads/2025/10/Decentralized-Autonomous-Organization-Governance-Mechanism-Core-Protocol-Execution-Illuminating-Digital-Asset-Epoch.webp)

A smart contract that automatically executes covered call or put-selling strategies to generate and compound passive options premium yield.

### [How Do Decentralized Autonomous Organizations (DAOs) Differ from Traditional Corporations?](https://learn.greeks.live/path/how-do-decentralized-autonomous-organizations-daos-differ-from-traditional-corporations/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![How Do Decentralized Autonomous Organizations (DAOs) Differ from Traditional Corporations?](https://learn.greeks.live/wp-content/uploads/2025/10/Exposed-Mechanism-of-Decentralized-Autonomous-Organization-Governance-Token-Execution-Stack.webp)

DAOs are governed by transparent, on-chain smart contract rules and token-holder votes, unlike the hierarchical structure of corporations.

### [How Does an Oracle Service Provider Earn Revenue?](https://learn.greeks.live/path/how-does-an-oracle-service-provider-earn-revenue/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![How Does an Oracle Service Provider Earn Revenue?](https://learn.greeks.live/wp-content/uploads/2025/10/Teal-Oblate-Spheroid-Interfacing-Complex-Black-Blade-Analogous-to-DeFi-Rebalancing-Mechanism.webp)

They charge fees (paid in native or service tokens) to dApps for data consumption, which compensates the node operators.

### [How Do DAOs Use Smart Contracts to Manage Risk for a Portfolio of Crypto Derivatives?](https://learn.greeks.live/path/how-do-daos-use-smart-contracts-to-manage-risk-for-a-portfolio-of-crypto-derivatives/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![How Do DAOs Use Smart Contracts to Manage Risk for a Portfolio of Crypto Derivatives?](https://learn.greeks.live/wp-content/uploads/2025/10/Triangular-Geometric-Intersections-Modeling-Hedged-Portfolio-Volatility-Surface-Skew.webp)

DAOs program smart contracts to automatically enforce risk rules, such as stop-losses, diversification, and hedging for derivative portfolios.

### [What Is a 'Sybil Attack' in the Context of DAOs?](https://learn.greeks.live/path/what-is-a-sybil-attack-in-the-context-of-daos/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![What Is a 'Sybil Attack' in the Context of DAOs?](https://learn.greeks.live/wp-content/uploads/2025/10/Conceptual-Architecture-of-Decentralized-Autonomous-Organization-Governance-Staking-Mechanisms-Illuminated.webp)

A Sybil attack is when one entity uses multiple fake identities to gain disproportionate voting power and manipulate DAO governance.

### [How Does a DAO Calculate Its "Runway" and Why Is It Crucial for Treasury Management?](https://learn.greeks.live/path/how-does-a-dao-calculate-its-runway-and-why-is-it-crucial-for-treasury-management/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![How Does a DAO Calculate Its "Runway" and Why Is It Crucial for Treasury Management?](https://learn.greeks.live/wp-content/uploads/2025/10/Deconstructed-Mechanism-Revealing-Embedded-Systems-Interfacing-Algorithmic-Trading-Infrastructure-Through-Secured-Channels.webp)

Total liquid treasury value divided by average monthly expenses, indicating the months of operational time remaining.

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**Original URL:** https://learn.greeks.live/learn/how-do-daos-generate-revenue-to-fund-their-treasury/
