# Token Whitelist

In order to understand how token whitelisting works, we need to understand the basics first.

## What is token whitelisting?

A **whitelist** is a list of approved tokens, and any token not on this list will not be allowed to access the system, network, or application in question.

In short, token whitelisting is a security measure that is used to restrict access to a system, network, or application to only those tokens that have been specifically approved, or whitelisted.

## How does token whitelisting work on Near-multicall?

In some cases, DAOs have to create multiple proposals to execute a task, for e.g.
* A DAO has to give away 10 fungible tokens ($USDC) to 10 people, but you need to have 10 $USDC total on the multicall contract.
* However, you have 10 $USDC on the DAO and 0 $USDC on the multicall contract.
* One effective method is to initiate two separate proposals. The first proposal would be to move the funds from the DAO to multicall, followed by another proposal for multicall to distribute the funds.

Now, by utilising token whitelisting, you can merge these two proposals into a single one by attaching a **fungible token** to your multicall, thereby enabling you to send and direct the distribution of tokens in a single step.


## Advantages of token whitelisting

* By using token whitelisting, you can reduce the number of proposals needed to just one, and ensure that funds are only moved to the DAO's multicall contract when they are necessary.
* It helps to prevent fraud by ensuring that only authorised token addresses are allowed to execute multicalls on behalf of the DAO. This can help protect against malicious tokens, which can steal all the funds on the DAO's multicall contract.

:::info
:bulb: A limitation to this feature is that only one fungible token can be attached to a single proposal, meaning that multiple tokens cannot be attached to the same proposal.
:::