The creator of a DAO can use a badge to identify members and measure their contributions. The current version of INK webapp mints the badges and place them in the creator's wallet.
If a DAO is created with a Badge, the creator needs to send the badges to the community members to allow them to vote in this DAO. Though they can be sent manually like normal fungible tokens, it is not encouraged, as these badges are not designed to compete with the meta token of the DAO. Instead, the DAO should create quests and bounties and use INK's payment management facility to allocate them transparently.
The DAO creator can deposit the minted badges into the DAO's treasury, and go through a transparent distribution process to allow the members to collect their badges. See the first two operation choices of the Treasury functionalities.