In the knighting round, addresses that are on the guestlist can trade certain assets for citadel tokens at a fixed price.
5% of the citadel supply is going to be distributed between the "Knights" (i.e. Partner DAOs) of the project. How many tokens will go to each one is ultimately decided by the entities that participate in the knighting round, when they trade assets for citadel.
When a user trades assets for citadel, they get to pick a DAO to "vote" for. This DAO will recieve points in accordance with how much citadel the user is trading for. So, big trades give more points to the DAO.
At the end of the knighting round, the relative proportions of points between the DAOs are used to divvy up the 5% accordingly.