# NAV Definition

## Full-quota NAV denominator: 200,000 HOLI

**Full-quota NAV denominator: 200,000 HOLI** (total issuance minus Treasury-held, **including HOLI in pools**). Opening full-quota is one instance of the identity below: <Md expr="N_0 = S_0 - S_0^{\mathrm{treas}} = 200{,}000" />. The denominator is **external supply**, not total issuance. Sizes live on the [opening balance sheet](/launch/opening-balance-sheet). This page is the identity.

Let <Md expr="A_t" /> be the marked external-asset total at <Md expr="t" />: USDG, SHYT, eligible RWA, and the **external legs of LPs**. The protocol holds **only governance-approved assets**. Official NAV is **1×** those external legs. Do not 2× an LP. The **SHYT in the green-channel (SHYT/HOLI) pool counts in NAV**; HOLI in that pool is in <Md expr="S_t^{\mathrm{treas}}" />, out of <Md expr="N_t" />, not added to <Md expr="A_t" />. Do not count Treasury-held HOLI again.

Let <Md expr="S_t" /> be on-chain HOLI total supply, and <Md expr="S_t^{\mathrm{treas}}" /> Treasury-held HOLI — **including HOLI in protocol LP**.

The protocol records **no book liabilities**. Formal NAV uses **external supply** — HOLI outside the house, not total issuance — as the denominator:

<Eq expr="N_t = S_t - S_t^{\mathrm{treas}},\qquad n_t = \frac{A_t}{N_t}" />

Treasury-held HOLI is not an asset in <Md expr="A_t" /> and not a claim in <Md expr="N_t" />. It is dropped from both.

The **NAV report** discloses **total assets**, **basket weights**, and **on-chain valuation sources**. How lines in <Md expr="A_t" /> are marked is [asset valuation](/nav/valuation) and [price sources](/nav/prices). POL legs: [POL accounting](/nav/pol). This page is the identity. The dashboard **reads on-chain** and **updates NAV automatically**. [Transparency](/treasury-mgmt/transparency).