A DAO is a computer program, run by a peer-to-peer network, in which the governance and decision-making are prescribed by the code or the pre-programmed set of smart contracts.

COSS.io's DAO enables token holders to receive FSA from the COSS system on a weekly basis due to a smart contract governing the process.

For non ERC-20 tokens, users would have to convert their FSA of that particular token to ETH 

It would then be added to their balance of ETH in their FSA.