# What's dToken used for ?

dToken is designed to prevent the outflow of funds in the diamond vault to remove the unnecessary complexity of the contract. When users need funds, dToken can be traded into Token on DolphinSwap rather than withdraw the principal from the vault directly.&#x20;

The value of dToken is equal to the value of Token in the beginning. When the vault starts making money, the value of dToken will always be greater than that of Token. As the funds in the vaults increase, the APY will be increasingly diluted, and the speed of dToken value increment will slow down.&#x20;

In order to prevent the whales from diluting the income of the pool, a 0.1% withdrawal fee is currently designed for the vault, and this design also locks the management funds to a certain extent.


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