I don't understand your phrase "spend Token", but if I look at the keywords I found in the Law of root, it should be "Exhaust items". It is also called directly "item" not "token".
Both of your other choices are correct; however, there's just a minor issue with choice 1. They don't take a point from you, you simply lose a point for each card. If you don't have cards!
You can't remove them, but you can use the downtime between when they have the normal item and when they get the monopoly item during the next turn's Enhance action to swap them with yours. This is described in the "crafted items" box.
I'm really excited about your interest! I've officially completed the final version and shared the contest link. After voting is over, I will update my faction. Thanks for your support! 😊😊😊