# DAO Capabilities

Many of you are probably wondering what actually happens in a DAO, so we'll get into the features of the Colony software and see what it's capable of.&#x20;

It's important to note that what a DAO can do and what a DAO is *capable of doing* are kind of two different things. A guitar is a musical instrument that makes sounds, that's what it does... But it might take hearing BB King play to really *understand what a guitar is capable of*. The DAO evaluates votes and issues transactions. What we do with it, what *we're* capable of...  that's where the magic is.&#x20;

**Current Colony Capabilities**

* Members can join (with or without tokens)
* Tokens can be minted
* Teams can be created
* Teams can be given funding
* Tokens can be sent to an external address
* Simple payments for work already completed
* Tokens that are sent to an external address are locked as non-transferrable by default, and will be unlocked when voting becomes available. This can only be done once.&#x20;
* The vault can receive tokens from anyone who sends them

**Future Colony Capabilities**

* Create proposals
* Vote on proposals
* Challenge proposals that are about to pass
* Earn Reputation within the Colony
* Vote to remove someone's reputation by "smiting" them for bad behavior
* Sell tokens via the "Coin Machine" feature
* Create a pot of rewards to be paid out
* Setup recurring payments
* Put the colony into recovery mode in case of an emergency (an outside attack for example)
* Interact with external  smart contracts


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