> For the complete documentation index, see [llms.txt](https://meta-dao.gitbook.io/meta-dao-docs/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://meta-dao.gitbook.io/meta-dao-docs/meta-protocol-internals/initial-network-state.md).

# Initial Network State

**Our initial goal is not to find a stable price for META.** This may seem antithetical to our currency aspirations, but we ensure you that is not the case.  META can be tuned to optimize for different things. The main tradeoff is volatility and profitability versus stability and consistency. With volatility and profit comes growth; this is what we want early on. With tight policy and scale, META should function well as a stable asset. Upward and downward pressures should stabilize at some non-intrinsic value. With loose policy, regardless of scale, Meta DAO has the potential to act as a wealth creation machine. The market premium of the token measures the positive sum of the game; all extrinsic value is new wealth created.

### Alpha State

The initial network features a one-way treasury (money goes in, none comes out), the bonding contract (through which supply increases and profits are produced i.e minting), and the staking contract (where profits are distributed). 

**The following are the initial policy states:** 

* **BCV** - BCV varies based on mint types . It is tuned regularly by the Policy team to meet the protocol goals. *For example, if the protocol wants to accumulate more liquidity into its treasury, it can lower the BCV for allowing users to mint META with LP to increase their bond capacity.*
* **Mint vesting term** - It is set to a fixed number Fantom blocks or approximately five days for all Minting Asset types.
* **META distribution** - Every time someone Mints $META, the proceed will go to the Meta DAO Treasury. A corresponding amount of META will be minted and distributed to three parties:
  * <mark style="color:green;">**Minter**</mark> <mark style="color:green;"></mark><mark style="color:green;">- The Minter will receive the quoted amount of META minted linearly over the vesting term.</mark>
  * <mark style="color:blue;">**DAO**</mark> <mark style="color:blue;"></mark><mark style="color:blue;">- The DAO receives the same amount of META as the minter. This represents the DAO profit.</mark>
  * <mark style="color:orange;">**Stakers**</mark> <mark style="color:orange;"></mark><mark style="color:orange;">- After accounting for the META distributed to the minter and the DAO, the rest will be distributed among all those</mark> [<mark style="color:orange;">staking in the protocol.</mark>](/meta-dao-docs/functions-of-meta-protocol/staking.md)&#x20;


---

# Agent Instructions
This documentation is published with GitBook. GitBook is the documentation platform designed so that both humans and AI agents can read, navigate, and reason over technical content effectively. Learn more at gitbook.com.

## Querying This Documentation
If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question.

Perform an HTTP GET request on the current page URL with the `ask` query parameter:

```
GET https://meta-dao.gitbook.io/meta-dao-docs/meta-protocol-internals/initial-network-state.md?ask=<question>
```

The question should be specific, self-contained, and written in natural language.
The response will contain a direct answer to the question and relevant excerpts and sources from the documentation.

Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.