ALLY is an Algorand Standard Asset with the following uses:
Governance: As we build up DAO governance, ALLY holders will vote on initiatives, parameters, and code changes.
Finance: The ALLY contract receives fees from the actions of the wALGO pool. The ALLY token holders can control the use of these fees for investment or buybacks.
Rewards: A small amount of ALLY rewards can fill in the governance rewards that will be missing from wALGOs that are incrementally minted. This makes it easier for users to get collateral.