►
From YouTube: RWA Collateral Call: Maker Representative
Description
Intro: @SebVentures (support: @juanjuan )
Presentation: Matthew Rabinowitz, 6s Capital
Open discussion and Q&A
Agenda and Discussion:
https://forum.makerdao.com/t/agenda-discussion-rwa-collateral-call-maker-representative-wednesday-october-7-16-00-utc/4570
Governance Forum:
https://forum.makerdao.com/
Disclaimer: The videos in this playlist are produced by MakerDAO community members. Content produced by the community may not be representative of the views held by the Maker Foundation.
A
A
Willing
to
to
breach
the
the
fascinating
world
of
crypto
with
the
real
world
assets,
so
hopefully
we
can
get
things
moving
today
for
today's
agenda.
We
have
matthew
rabinowitz,
that's
going
to
be
speaking
about
the
maker
representative.
We
have
well
he.
He
posted
a
very
interesting
forum
thread
in
the
maker
forum.
If
you
haven't
seen
it
we'll
post
it
in
there
in
the
notes
but
yeah.
Basically,
he
he
wants
to
find
one
or
ideally
more
than
one
make
representatives
that
can
conserve
us
as
a
bridge.
C
B
All
right,
so,
let's
go
and
get
started
so
yeah.
This
maker
representative
is,
I
guess,
spawned
off
of
the
two
mips
that
are
were
officially
submitted
that
were
in
discussion
related
to
my
real
world
asset
proposals
for
success,
capital
and
the
spirit
of
it
is
what
is
a
maker
representative
and
its
most
generic
form,
and
we
need
a
party,
our
parties,
ideally
and
frankly,
the
more
the
better,
especially
initially
and
going
forward
and
as
the
community.
B
You
know,
as
this
evolves
it'll
kind
of
optimize
as
to
what
the
community
determines
is
needed
for
every
one
lend
co,
whether
or
not
it's
one,
two
or
five,
but
in
effect
it's
to
oversee
the
business
operations
that
otherwise
are
run
by
lendco
that
are
somewhat
outside
the
view:
the
purview
of
an
auditor.
So
it's
for
the
dow
or
the
proxy
of
the
dao.
In
this
case
the
trust.
B
So
in
that
context
the
question
is
like:
how
is
this
similar
to
an
auditor?
You
know
what
does
an
auditor
do
in
general
for
those
that
have
done
it?
I
mean
auditors
are
going
to
make
sure
that
your
financial
statements
are
in
compliance
with
gaap,
which
is
to
say
they're,
conforming
to
standards
that
are
known
and
they
fit
in
a
box.
B
But
auditors
don't
review
the
scope
of
agreements
to
ensure
that
a
loan,
for
example,
didn't
breach
some
equity
requirement
didn't
lend
capital
to
a
tenant
that
was
either
authorized,
or
maybe
the
community
at
some
point
lists
tenants
that
are
explicitly
never
to
be
lend
to
just
as
an
example
or
put
where
they're
a
tenant.
Someone
who
cannot
be
on
that
list.
An
auditor
will
just
see
if
the
financial
statements
are
in
compliance
with
gaap
and
check
a
box
which
thus
defeats
the
purpose.
B
Lendco
has
a
fiduciary
me
to
run
it,
but
the
credit
agreement
between
lenco
and
a
trust.
The
trust
at
that
point
is
a
creditor.
The
dow
is
a
creditor,
so
it
needs
oversight.
It
needs
someone
to
look
at
it
to
make
sure
on
a
either
transaction
by
transaction
basis,
probably
initially,
and
over
time
that'll
probably
evolve
into
if
it
needs
to
be
weekly,
so
be
it
if
it
needs
to
be
monthly,
but
at
the
very
minimum
quarterly
to
give
insight
to
give
some
forecasting.
B
So
we
need
a
party
that
has
executed
an
nda
that
can
convey
the
substance,
a
translucent
substance
of
a
charan's
action.
If
we
don't
have
that,
then
lenko
can
only
excuse
me.
The
dao
would
only
be
able
to
rely,
and
it's
basically
blind
into
the
audit
was
good
or
bad,
and
you
know
in
10
years
that
maybe
area
will
be
where
we're
at
in
10
years.
That
may
be
sufficient,
but
there's
no
way
to
get
there
in
an
accelerated
manner
without
getting
the
dow
comfort
that
there
weren't
shortcuts
that
were
taken
along
the
path.
B
B
B
The
audit
is
clean
when
in
clear
when,
in
reality,
that
would
be
a
severe
breach
of
the
agreement
and
the
best
way
to
see
that
will
be
for
maker
representatives
who
are
looking
at
the
financial
statements
of
lendco
to
look
at
the
list
of
loans
in
the
list
of
assets
and
then
make
sure
they've
seen
every
one
of
those
transactions
and
that
they
know
that
each
one
of
those
pieces
was
something
that
the
dao
explicitly
either
consented
to
or
is
not
in
breach
of
the
agreement
so
enter.
The
maker
representative.
B
Some
of
those
who
step
up
in
the
future
or
change
out
the
more
that
the
dao
has
comfort,
that
the
active
participants
within
the
dao
are
engaged
and
are
looking
at
the
transactions.
The
more
it
can
get
comfort
that
either
additional
scopes
can
be
included
or
additional
debt
ceilings
can
be
included
or,
as
we
expand
to
having.
I
say
we
as
the
community
expands
to
having
another
lenco,
and
if
we
have
five
or
seven
or
ten
maker
representatives
it.
B
So
what
is
the
reporting?
That's
fundamentally
needed
here
on
the
very
minimum
of
quarterly
he
or
she
would
be
reporting
to
the
dao,
with
just
a
summarized
simple
report
outlining
that
an
annual
audit
was
clean
again,
that's
once
a
year
or
financial
statements
were
being
done
by
a
third
party,
they're
being
generated,
another
person
to
admit
being
generated
by
a
third
party.
B
The
the
maker
representative
should
at
least
look
through
the
balance
sheet
and
see
the
list
of
loans
and
say
you
know
hey.
There
are
five
cars
on
this.
That's
awkward
or
here
are
all
the
loans
that
were
expected.
The
goal
is
just
an
oversight
rule
and
to
make
sure
that
the
scope
is
compliant.
Loans
were
not
outside
of
the
threshold
and
that
equity
requirements
were
in
compliance
for
each
loan
and
to
know
that
loans
are
performing
or
they're
under
construction.
So
I
mean
the
corollary
at
least
in
the
united
states.
B
The
key
here
is
to
be
the
eyes
and
ears.
The
goal
here
is
to
massively
reduce
the
exposure
for
the
dow
when
deploying
capital
as
early
as
possible,
to
see
any
problems
as
early
as
possible
and
to
report
them,
and
in
doing
so
it
helps
build
the
credibility
of
alenco.
It
helps
build.
The
community
commit
the
credibility
of
the
dow.
It
helps
build
the
credibility
of
the
representative
when
everybody
acts
as
intended.
The
trust
capacity
goes
up.
Transactional
capacity
goes
up.
B
B
Who
whomever
would
be
those
maker
representatives
will
have
familiarity
with
every
one
of
these
boxes
now
the
degree
of
how
much
time
is
engaged
to
do
this
kind
of
really
depends
on
the
personality
of
the
of
the
representative
and
how,
I
would
say,
thorough,
it's
too
strong,
but
how
detail-oriented
somebody
is
and
wanting
to
understand
and
see
the
transactional
closing
statement,
for
example,
of
an
underlying
loan
yeah.
That's
something!
B
That's
completely
in
in
scope
of
something
that
could
should
be
requested
and
would
be
provided,
and
the
rest
of
the
presentation
really
I
have
is
just
slides.
I've
already
presented
in
the
past
of
outlining
how
the
trust
engages
between
a
trust
and
alenco
and
the
lendco
out
to
a
borrow
code
and
then
the
general
cash
sequence
flow,
which
largely
in
this
scenario,
for
the
discussions
related
to
a
maker
representative.
A
A
A
Start
then
yeah,
so
I
don't
like,
if
you
can,
if
we
can
or
if
you
can
walk
us
through
a
concrete
example,
maybe-
and
it
doesn't
need
to
be
too
concrete,
but
I'm
imagining
you
already
mentioned
the
the
construction
business.
So
let's
say
someone
wants
to
do
some
construction,
so
they
contact
success
capital.
A
B
So
it's
an
oversight
role,
it's
not
a
negotiating
role,
it's
an
oversight!
So
it's
a
human
being.
It's
doing
what
a
dao
can't
do
a
dao
can't
in
itself
review
contracts
that
are
confidential.
So
it's
that
proxy
between
the
two
so
specifically
another
person,
specifically
to
the
mips
that
we've
submitted.
You
know
we're
going
after
one
specific
area
which
is
credit,
tenant
leasing
of
predefined
tenants
where
they
want
to
borrow
capital
in
in
the
most
basic
form.
So
the
question
really
is
you
know
it's
not
just
purely
that
somebody
approaches
and
says
hey.
B
I
want
to
build
a
house
right
if,
if,
if
somebody
approached
me,
my
answer
be
hey,
that
sounds
like
a
wonderful
project.
My
senior
debt
facility
doesn't
permit
me
to
do
that
right.
So,
let's
imagine
you
know
we
have
the
list
of
assets
that
are
on
the
balance
sheet
that
are
being
prepared
by
an
independent
party
right,
it's
not
being
prepared
by
me
it's
being
prepared
by
somebody
else,
another
group,
another
cpa,
firm
and
all
of
a
sudden
that
you
see
on
that
balance
sheet.
B
There's
a
loan
right
to
a
house
that
should
be
a
red
flag
right
that
the
we
don't
want
to
wait
a
full
calendar
year
for
an
audit
to
pick
up
on
that
or
someone
to
look
at
the
financial
statements
after
a
year.
We
need
the
early
warning
system,
so
the
maker
representative
is
following
either
per
closing
or
per
week
or
per
month.
It
really
will
depend
on
everybody's
personality.
A
E
A
E
In
here,
with
one
with
one
or
two,
I
just
have
one
or
two
that
might
settle
something
that
you're
talking
about
and
good
day
everybody
good
day,
matt
so
matt.
The
one
thing
I
noticed
that
you
mentioned
is
that,
if
there's
an
issue,
basically
that
the
maker
representative
can
only
recommend
a
lowering
of
a
dc,
I
don't
know
that
maker
governance
will
actually
give
us
the
ability
to
do
it.
That's
the
first
point,
and
let's
talk
about
that
later
and
the
question,
so
I
had
two
questions.
E
One
is
that
I
kind
of
was
thinking
I'm
like
you're,
going
to
approach
banks
to
do
this
right
so
who
actually
acts
as
the.
How
does
that
work
who's
the
person
that
basically
oversees
the
financial
stuff?
What
do
you
put
up
with
the
bank
to
be
able
to
get
a
loan?
I
kind
of
want
to
see
how
this
works
with
the
bank
to
understand
who's,
the
who's,
the
auditing
role
for
the
bank
and
then
the
next
question
is:
is
that
you
must
have
contracts?
E
You
know
you're
trying
to
keep
track
of
fiducial
data
and
do
it
in
a
private
way
and
that's
kind
of
why
you
want
the
maker
rep.
Is
you
want
them
to
sign
the
nda
that
says
we're
not
going
to
reveal
any
of
the
private
information,
but
we're
just
going
to
affirm
after
investigating
that
the
financial
information
matches
what
lendco
was
telling
us?
E
And
so
the
question
becomes
with
your
your
clients.
Presumably
they
say
something
that
says
we
can
share
that.
Lenco
can
share
this
private
information
with
an
auditing,
firm
or
whomever
outside
agencies,
as
long
as
they
follow
the
nda
effectively
right,
and
so
they
know
that
other
people
are
going
to
be
poking
into
lenco's
fiducial.
B
Well,
I
mean
like
a
bank
like
a
bank
relationship
vp,
that's
their
job
is
to
be
the
filter
for
a
transaction.
So
forget
anything
we're
talking
about
with
maker
right
now.
So
if
a
developer
has
a
deal
with
a
would-be
given
tenant
in
this
exact
same
space,
you
would
bring
up
the
transaction
to
that
bank
relationship
manager.
Who
would
evaluate
the
lease
and
do
all
of
the
pieces
that
lendco
is
doing
that.
I'm
doing
basically
we're
re,
reverse
engineering.
A
bank
is
what
success
capital
is
doing.
B
Okay,
so
then
the
question
I
think
you're
asking
is
who's
auditing,
the
bank
and
with
that
bank
uses
auditors
just
like
we're
going
to
use
the
question
really
is
that
a
bank
gets
its
capital
either
from
its
depositors
or
from
a
central
bank
and
banks
to
get
a
banking
license.
You
have
to
have
oversight
you
have
to
that.
Banking
license
includes
inspections
from
bank
regulators
and
that's
what
we're
creating
by
doing
a
maker.
E
Rep,
okay,
let
me
do
a
follow-up
on
that
so
who
in
the
bank
normally
you
know
you're
giving
a
loan
out
on
a
project
right,
so
you
got
to
verify
that
the
assets
that
are
backing
the
loan
and
kind
of
actually
have
a
matching
value,
and
you
know
and
then
basically,
that
the
construction
that's
going
on
or
whatever
is
happening,
kind
of
matches.
The
loan
profile
right
and
inherently
you're
saying
lenco
is
going
to
do
that
when
in
reality,
a
bank
or
another
agency
would
do
that.
That's
independent
of
lenco,
okay,.
B
To
what
you're
saying
so
like
a
every
as
a
as
one
of
the
core
requirements,
lenco
needs
as
a
critical
piece
of
information
to
determine
its
constraint,
is
loan
to
value
and
that
value
is
not
determined
by
success
capital.
It's
not
determined
by
lendco,
it's
determined
by
an
independent,
appraising
firm,
for
example,
bbg
that
does
independent
evaluations
for
net
lease
properties.
B
That
includes
comparative
data
so
that
they
say
upon
this
project
being
stabilized.
It
will
be
worth
insert
the
number
two
million
dollars.
That's
fine,
that's
it!
That
is
information
that
lendco
can
use
as
a
constraint.
It's
not
pulling
the
number
out
of
thin
air
saying
hey.
We
think
this
project
is
worth
five
million.
Why
not?
B
E
But
normally
it
would
be
the
bank
that
actually
is
going
to
induce
the
auditor.
That's
going
to
dig
into
the
lendco
details
right,
I
mean
inherently
the
way
you're
proposing
it
is
that
the
maker
rep
by
some
agency
is
basically
the
agency's
going
to
collect
and
verify
the
information
and
then
basically
they're,
going
to
affirm
to
the
maker
rep,
hey
everything's,
thumbs
up
right,
but
lenco
can't
be
paying
that
agency.
It
literally
needs
to
be
something
with
maker
or
the
maker
rep
or
whatever.
Otherwise,
it's
kind
of
potential
conflict
of
interest
right.
B
B
If
the
end
borrower
pays
for
an
appraisal,
there's
a
conflict,
but
lenders
are
the
ones
that
they
rely
on
that
I,
for
example,
when
I've
done
this
in
the
past
a
bank
when
I
need
to
go,
get
an
appraisal,
I
can't
go,
get
the
appraisal.
I
have
to
pay
the
bank.
The
bank
then
orders
the
appraisal
from
their
list
of
independent
appraisers.
E
You
know
so
that
we
have
two
appraisers.
I
don't
know,
but
basically,
then,
once
the
all
the
information,
basically
the
the
maker
wrap,
isn't
going
to
be
directly
auditing.
All
they're
going
to
be
doing
is
saying
an
auditor
actually
did
this
and
while
they
might
have
questions
and
they
can
ask
glencoe
to
see
deeper
into
the
books
right,
no.
B
No,
no
you've
seen
auditors
going
to
be
engaged
once
a
year
once
a
calendar
year
at
the
end
of
the
tax
year.
So
what
happens
on
the
transaction
we
do
on
january
15th?
It
would
be
dangerous
to
wait
until
the
following
january
to
have
an
auditor
engage
with
it.
We
need
a
party
that
steps
in
between
that
gives
that
early
warning
system
that
says
okay,
so
matt
you're
planning
to
do
a
closing
this
coming
friday.
B
B
C
B
Example,
that's
an
excellent
example
yeah
and
the
question
really
will
turn
into
the
sensitivity
or
the
comfort
a
little
bit
of
that
maker
wrap
with
the
would-be
lenco.
They
may
want
to
see
it
before
we
close.
They
may
want
to
see
it
a
week
after
we
close
either
way.
For
me,
I
don't
care
right,
it's
exactly
that.
I
mean
it
also
works
both
ways.
Right,
I
mean
one
of
the
dangers.
B
A
lenko,
any
lenco
or
in
this
case
mine
would
have.
Is
one
can
imagine
the
reverse
scenario
of
a
rep
saying?
Listen,
if
you
don't
pay
me
fifty
thousand
dollars,
I'm
going
to
tell
everybody
that
you're
you're,
cooking
the
books
and
you're.
You
know
taking
the
money
and
buying
cars
with
it,
to
which
all
the
more
reason
why
we
should
have
multiple
micro
representatives
to
diversify
that
risk
in
reverse.
B
A
B
I
mean
I
mean
like
yeah,
I
don't
look
good
in
orange,
I'm
not
going
to
jail
for
fraud.
That's
a
b.
The
financial
statements
are
going
to
be
generated
by
an
independent
accounting
firm
that
are
licensed
cpas
looking
at
the
bank
account
and
if
the
maker
representative
wants
to
look
at
the
financial
statements
and
look
at
the
underlying
bank
statements
to
do
a
spot
audit,
yeah.
Okay,
that's
cool.
D
E
So
it
sounds
like
you
have
in
your
head.
Some
I
mean
there's
certain
requirements
for
this
representative.
I
mean,
if
you're
going
to
do
a
spot
audit.
It
means
you
have
to
have
some
capability
to
be
able
to
perform
an
audit
and
you're,
probably
going
to
have
to
be
able
to
read
contracts
to
understand
who's,
doing
what
with
whom.
So
what
other
abilities?
Do
you
see
that
the
maker
representative
is
going
to
have
to
have
to
be
able
to
perform
the
function.
B
Excellent
question
and
if
I've
done
my
job
right,
not
as
intense
as
you're
concerned
with
right,
if,
if
we
have
enough
prep
on
the
reporting
side,
that
we
lay
it
out,
what
would
be
concerning
for
any
maker
representative
or
the
community
as
a
whole
is
if,
at
the
end
of
a
transaction,
my
question
to
the
rep
would
be
so.
What
do
you
want
to
see
right?
That
would
be
dangerous.
B
If
that
rep
wants
to,
you
know,
dig
in
a
little
bit
now
I
mean
there's
a
balancing
act
between
digging
in
a
little
bit,
and
you
know
spending
500
hours
trying
to
reconcile
the
bank
statements
when
they're
already
being
done
by
a
third
party
and
that
balancing
act,
what
we're
going
to
have
to
figure
out
with
time
yeah
I
don't.
I
don't
think
we
need
to
have
cpas.
I
don't
think
we
need
to
have
attorneys,
but
it
doesn't
hurt
if
somebody
has
an
accounting,
understanding
or
illegal
understanding.
C
Yeah,
I
think
I
think
what
we
should
avoid
is
to
to
kind
of
start
relying
on
a
whole
army
of
advisors
and
specialists
in
all
kinds
of
areas.
I
think
we
should
get
the
lender
do
all
of
the
homework
and
and
then
somebody
who
has
some
understanding
as
a
mega
representative
to
sign
off
on
it.
So
my
own
background
is,
is
legal
originally,
and
I
mean
so.
C
I
would
ask,
for
example,
for
legal
opinions
to
be
provided
by
success
in
this
case
that
all
the
documents
are
enforceable
and
that
the
entities
actually
exist,
and
you
know
that
there's
kind
of
standard
format
for
the
for
for
for
legal
opinions
and
as
long
as
that
is
delivered
with
the
content
that
we
kind
of
put
on
a
checklist.
I
guess
as
a
mega
community
before
we
we
do
this.
I
think
it's
it's.
E
I
agree
with
that,
because
that's
kind
of
what
I
was
seeing
here
is
that
you
know
there's
definitely
going
to
have
to
be
a
checklist,
but
pretty
much
everything.
That's
in
that
checklist
is
being
checked
off
by
someone
else
who
has
both
the
responsibility
to
do
it
and
the
liability
if
they
mess
it
up.
C
Yeah,
so
I'm
going
to
continue
with
the
legal
opinions
which
is
kind
of
the
thing
that
I
know
about.
Maybe
we
could
ask
the
law
firm.
That
gives
that
that
that
you
know
the
maker
community
or
the
trust
that
represents
it
can
rely
on
that
legal
opinion.
So
you
have
a
direct
access
to
that
law,
firm
to
sue
them
if
they,
if
they
lie
to
you.
B
E
And
then
also
like,
so
we
have
this
checklist
right.
I
mean
you
kind
of
have
in
your
head
that
potentially
a
maker
rep
could
kind
of
dig
into
one
of
the
pieces
of
the
checklist
if
they
wanted
to.
As
an
inherently
like
the
maker
representative
is
a
quality
assurance
check
and
kind
of
all
the
eyes
and
tees
and
details
of
this
is
done
and
so
they're
going
to
have
to
have
the
ability
to
do
that.
E
Potentially
I
mean
you're
saying
well,
it
shouldn't
have
to
happen,
but
you
know
this
is
why
you
do
quality
assurance
checks,
as
you
just
reach
in
under
the
hood,
to
make
sure
something's
going
on
now.
If
everybody
on
the
lineup
that
has
the
responsibility
to
provide
the
accurate
information
also
has
the
liabilities
to
go
with
not
doing
it
right
then,
inherently,
you
know
pretty
much.
Everybody's
covered
and
yeah
the
maker
rep
doesn't
have
to
dig
in
the
question
is,
is
is:
is
there
an
anticipation
that
they
should
or
would.
B
I
think
I
would
even
go
further.
I
would
say
that
it
should
be
it.
The
risk
in
most
of
these
lend
goes
frankly,
is
all
going
to
be
in
the
first
18
months,
24
months.
At
some
point,
a
the
maker
gets
comfortable
enough
with
lend
cooperation
starting
to
get
copied
on
information
or
just
forwarded,
seeing
the
same
documents,
the
same
structure,
the
same
enforceability,
opinions,
a
level
frankly
of
trust,
builds
up,
but
and
to
ensure
that
we
don't
get
lethargic
around
that.
Just
at
that
point
it
starts
morphing
into
random
spot
inspections.
B
B
B
B
Well,
I
mean,
I
think,
that's
the
whole
objective
of
this
again.
Early
warning
system
is,
if
one
two
and
then
five
maker
representatives
start
waving
their
hands
and
yelling
in
the
chat
group
and
yelling
in
the
forums.
There's
something
really
wrong.
Going
on
we've
seen
maker
governance
react
on
other
pressing
items
in
an
accelerated
manner.
If
it's
really
important,
I
would
expect
the
community
to
rally
around
of
doing
an
emergency
reduction
emergency
voting
to
to
hamstring
any
type
of
votes
earlier
than
later
or
reduce
it.
Earlier
than
later.
B
E
C
C
I
don't
know
if
this
job
pays
or
not
does
make
a
representative,
but
maybe
what
the
community
can
do
is
recruit
a
couple
of
friends
of
friends
that
work
in
commercial
real
estate
for
abc
bank,
and
maybe
they
might
be
fit
to
take
the
original
role
of
a
maker
representative.
Just
some
just
some
thoughts.
B
That
I
I
have
no
no
heartburn
around
doing
that
zero.
The
real
question
at
the
same
time
also
is:
where
does
it
evolve
into
and
success
capital
as
my
lend
code?
Just
as
an
example,
does
it
permanently
stay
only
in
credit,
tenant
leasing
and
as
it
expands
into
new
areas,
we
may
need
to
staff
maker
representatives
that
have
more
familiarity
with
any
one?
Given
you
know,
credit
sync
capital,
sync,
zero
issue.
I
think
it's
a
very
good
idea
in
the
interim.
E
I
had
a
thought
and
kind
of
a
question
matt,
so
my
expectation
is
that
you're
going
to
want
this
to
be
a
single
facility
versus
kind
of
multiple
facilities
that
are
broken
into
into
for
each
of
the
projects.
You
know
what
I'm
saying
like
there
would
be.
A
single
facility
for
lenco
kind
of
all
the
projects
would
fall
under
it.
E
The
one
thing
I
kind
of
didn't
want
to,
or
I
was
curious
about,
is
you
know
if
we
do
it
as
a
single
facility
and
have
say
five
projects
in
there
if
one
of
them
comes
under
the
gun,
meaning
that
it's
going
to
close?
I
don't
want
to
you
know.
I
don't
want
to
have
a
situation
where,
let's
say
I'm
a
maker
rep,
I'm
saying
look.
E
One
of
these
things
is
gonna
is
is
falling
under
right
and
I
don't
want
it
to
affect
the
other
four
projects
that
are
within
the
total
loan
profile
and
the
and
the
dc
of
of
what
we're
going
to
give
lendco.
How
do
you
think?
How
do
you
see
that
being
handled?
Are
we
going
to
have
one
facility
or
multiple
facilities
that
are
specific
to
projects.
E
B
Not
want
to
do
multiple
facilities
given
to
a
specific
project.
I
don't
think
it's.
I
don't
think
it's
efficient
for
it's!
Oh,
it's!
My
job
is
to
be
the
proxy
to
be
the
fiduciary
of
investors
and
having
a
credit
agreement
where
we
remove
the
cognitive
overhead
of
having
the
community
needing
to
have
an
executive
vote
to
decide.
B
B
I
don't
understand
this
is
the
part
this
is
no.
I
don't
get
it
because
one
of
the
critical
covenants
that
we
have
is
that
equity
has
to
move
first
into
a
transaction.
So,
let's
just
say,
new
construction
happens
and
we
put
in
let's
just
make
the
number
simple.
So
it's
a
million
dollar
project
and
there's
300
000
that
moves
first
and
the
remaining
construction
pieces
that
stagger
in
over
the
following.
B
B
Now,
like
you
outlined,
we
have
a
problem
with
project
number
five.
What
should
happen?
Okay
in
my
mind's
eye
following
the
same
theme
of
a
central
bank
versus
a
normal
bank,
a
central
bank-
that's
a
big,
that's
a
whole
big
problem
for
that
bank.
It's
not
a
problem
for
the
central
bank.
They
have
the
senior
facility
over
everything
right.
B
So
if
lenco
starts
to
detect
that
I
have
to
go,
raise
more
money
to
not
be
in
breach
of
my
covenants,
but
it
doesn't
change
the
over
risk
for
overall
risk
profile
for
maker,
because
maker
on
every
one
of
the
other
transactions,
the
other
four
right.
They
all
have
the
senior
lien
over
one
million
dollars
of
an
asset
for
each
one
of
those
so
for
four
million
dollars,
but
but
maker
would
only
be
able
to
pull
back
on
2.8
of
it.
B
C
E
Not
it's
only
looking
at
the
individual
pieces
of
the
loan
portfolio
to
see
what
the
total
loan
portfolio
could
is
doing
right,
and
so,
if
one
of
them
is
kind
of
failing
or
outside
the
scope
or
whatever
we
flag
it
and
then
deal
with
it
as
a
piece,
but
it
doesn't
necessarily
have
to
destroy
the
whole
loan
portfolio.
I
guess
my
point
is:
is
that
this
whole
discussion
about
dropping
the
dc
in
some
sort
of
weird
circumstance
as
this
grows?
B
Should
it
the
only
time
it
should
happen
is,
if
there's
clearly
a
severe
concern
from
a
cohort
of
maker
representatives
that
something
is
legitimately
going
sideways,
and
that
is
an
edge
case.
I
mean
fraud
by
its
definition
should
not
be
the
default
scenario.
We
all
view
as
the
outcome.
It
is
an
edge
case.
It's
criminal
activity
right,
that's
not
what
the
objective
is
right
and
in
that
type
of
criminal
or
severe
breach
of
an
agreement
edge
case
yeah.
E
Yeah
I
got
it,
I'm
just
going
to
make
one
other
comment,
because
I
think
I'm
pretty
clear-
and
I
want
to
thank
you
for
answering
questions.
My
impression
on
this
is
that
this
representative
should
be.
It
should
be
a
team
of
people
that
collectively
are
working
on
probably
the
entire
loan
portfolio
in
rwa.
E
This
shouldn't
just
be
one
person.
There's
always
got
to
in
something
like
this.
You
just
want
to.
Even
though
it's
going
to
be
the
same
cookie
cutter
paperwork,
I
deal
with
operations
all
the
time
and
while
I'm
a
great
operator,
I
always
like
to
have
a
second
over
my
back
checking
that
I'm
not
messing
up
something,
and
so
I
don't
think
this
is
a
one-person
position.
I
definitely
think
this
is
a
multi-person
position
and
it's
a
group.
A
Matthew,
there's
two
topics
I
wanted
to
to
touch
on
before
we
we
we
drop.
This
call
the
first
one
is
the
one
that
long
for
wisdom
just
posted
on
the
chat,
saying
what
happens
from
the
government
side
of
you
like?
Do
the
representatives
need
to
be
elected
who's,
paying
them
if
they
are
paid,
etc
and
the
second
one
if
we
were
going
to
do
a
kind
of
like
a
pilot
and
I'm
not
sure
if
you're
envisioning
a
pilot,
but
maybe
it's
a
good
way
of
starting
and
scale
up?
A
How
would
we
do
it?
We
saw
that
there
are
some
people
interested.
So
I
was
wondering
if
there
are
these
checklists
that
we
need
to
do
if
there's
a
kind
of
like
a
training
that
everyone
can
have
to
make
sure
that
they're
looking
at
the
right
numbers,
I
mean
the
fact,
maybe
that
you're
doing
it
is
a
little
bit
controversial.
I
guess,
but
I'm
sure
that
people
could
review
that
and
audit
that
ensure
that
we
have
all
the
checks
in
place.
So
my
my
question
goes
on.
A
B
Okay,
excellent
questions
so
hitting
on
the
financial
one
first
like
at
present.
It's
not
contemplated
today
to
being
a
paid
role
today,
I'm
certain
that
will
evolve
with
time.
It
really
will
also
depend
on
how
much
time
is
engaged
from
folks.
It
will
evolve
into
that
in
my
mind's
eye.
Now,
whether
or
not
it's
compensated
from
the
dow
compensated
from
the
target
lencos
or
both.
B
That
is
a
to
be
to
be
held
discussion.
I
don't
think
we
know
the
answer
to
that
one,
yet
how
how
those
parties
or
individuals
would
be
nominated
or
put
in
as
representatives
that
process
also
is
not
is
still
unclear.
It's
not
finalized,
but
my
wild
guess
at
this
stage
will
be
something
that
frankly
we're
just
going
to
nominat.
I
don't
care
I'll
I'll,
nominate,
10
people,
five
people,
seven
people
and
have
maybe
go
through
a
weekly
governance
cycle.
I
don't
know
long
for
wisdom.
D
That's
fine,
I
mean,
I
think
that
mostly
makes
sense
right.
Look
at
this
stage.
It's
still
kind
of
like
a
trial
thing,
so
we
would
probably
want
to
just
have
like
volunteers
like
sign
up
to
something
have
a
signal
request
saying
these
are
going
to
be
the
first
lot
of
representatives
and
then
we
can
kind
of
formalize
like
that
kind
of
relationship
more
in
like
a
minute
at
a
later
time.
I
would
imagine.
B
Yeah,
and
as
far
as
like
the
training
I
mean
it's
auditing,
the
training
I
mean
yeah,
okay,
fine,
but
to
me
some
of
the
core
of
it
will
come
down
to
the
right
people.
It's
not
always
about
having
the
best
team,
it's
always
about
having
the
right
team
and
that
right
team
is
a
combination
of
people
being
inquisitive
people
being
curious.
B
People
saying
you
know,
I
don't
know
if
that
makes
sense,
maybe
there's
something
going
on
and
keep
digging
until
you
get
the
answer
and
also
knowing
when
it's
too
much
to
dig
when,
if
you
don't
know
what
a
balance
sheet
is
me,
sending
a
balance
sheet
report
doesn't
help
right.
You
know,
there's
an
elementary
level
of
accounting
that
if
people
don't
know
it,
I
mean
I
can
step
through
it
to
a
degree,
and
we
will
right.
B
It's
also
about
just
asking
questions
and
I
will
sit
on
the
phone
with
folks,
one
two,
five
folks,
whatever
to
get
people
teed
up
any
nuance
of
the
transaction.
Let
them
do
their
own
independent
research
or
speak
to
other
parties
and
get
comfortable
with
it
and
yeah
and
just
cycle
through
it
over
and
over
and
witness
a
transaction
firsthand
ask
questions
say
I
don't
feel
comfortable
with
that.
B
D
How
do
you
suppose,
like
the
doubt,
would
kind
of
like
kind
of
judge
performance,
I
guess
of
representatives
if
it
even
needs
to
right
like
because
presumably
I
mean
the
kind
of
point
is
that
the
representatives
go
off
and
deal
with
this
right
and
then
to
come
back
and
report
like
have
you
kind
of?
I
guess
thought
about
that
at
all
like?
How
do
we,
you
kind
of
talked
about
having
the
right
people
right?
How
do
we
figure
out
who
the
right
people
are
and
whether
the
right
people
like
currently
have
the
job?
D
B
Yeah
yeah,
no,
it's
a
good
question,
but
it's
like
how
do
you
manage
a
reputation
and
it's
a
combination
at
the
front
end
today,
more
of
reputational
impact.
So
you
know
a
party.
That's
wanting
to
be
a
rep
today
has
more
reputation
at
stake
and
potentially
less
direct,
immediate
skill
sets
to
how
credit
tenant
leasing
works
and,
over
time,
that'll
probably
evolve
to
being
the
most
awesome
credit,
tenant,
leasing,
person,
who's
willing
to
be
a
maker
rep
that
nobody's
ever
heard
of,
but
does
where's
the
optimization.
B
You
know
the
answer
is
I
I
don't
know
the
answer.
We're
going
to
have
to
a
little
bit
feel
it
out
from
folks
that
ask
questions
this
one
will
be
a
challenge.
I
don't
know
the
because
at
the
same
time,
the
substance
of
the
conversations
that
people
will
have
with
me
asking
the
nuances
of
and
I'm
making
this
up.
Why
did
that
closing
statement
have
two
thousand
dollars
of
extra
interest.
That
conversation
is
intended
not
to
be
public.
So
how
do
we
convey?
Who
is
a
good
rep
who
asks
good
questions.
D
So
so
it
is
like
one
of
which
is
just
frank's,
like
frank,
suggested,
that
you
know
you
like,
provide
like
fake
test
documents
right
which
which
are
like
show
for
autumn
versus
ones
that
don't
see
if
they
catch
them
or
not.
Don't
know
how
that
would
work
in
terms
of
like
it.
Looking
like,
officially
lenco
but
like
maybe
maybe
we'll
make
like
mock
documents
for
like
some
non-existent
lanco,
like
some
of
which
are
good
and
some
of
which
are
bad.
And
then
you
kind
of
give
all
those
representatives
and
see
what
comes
out.
B
B
I
mean
I'm
the
point:
is
I'm
happy
to
show
people
and
teach
them
and
review
it
and
be
inspected
and
have
them
on
the
phone
with
my
attorney?
Have
them
on
the
phone
with
a
title
company,
and
there
is
that
this
is
the
delicate
balance
of
you
know,
I'm
happy
to
be
inspected
and
it's
at
the
same
time.
You
know
and
bring
people
up
to
speed,
but
not
necessarily
train,
if
that
makes
sense
right,
there's
a
balance,
and
it's
just
a
question
of
time.
So.
D
B
Sure,
yeah,
fair
and,
at
the
same
time
lenco
should
also
be
reporting
back.
The
same
way,
your
uber
driver
reports
on
the
passenger.
You
know,
if
there's
an
element
of
it,
that's
clearly
in
conflict,
but
if
the
conflict
is
actually
constructive,
like
he
asked
really
good
questions
and
it
was
really
intense
and
the
person
still
said
everything
was
kosher.
Well,
maybe
you
can
evaluate
that.
That
commentary
was
credible.
D
Yeah
I
mean
if
like
if
the
meetings
always
involve
like
more
than
one
representative
like,
rather
than
being
like
direct
one
representative
to
like
lanco,
then
we
can
kind
of
make
sure
that
that
works
right.
But
you
kind
of
the
issue
is:
if
lenco's
like
report
like
reporting
on
how
reputable
the
representatives
are,
if
they're
like
planning,
fraud
or
not
that
they
are
but
like,
then
you
you
would
they
would
want
to
review
people
that
yeah.
A
B
So
that's
actually
a
very
good
point
where
we
start
morphing
it,
and
this
is
an
important
point
where
I
want
to
morph
it
over
time.
I
don't
think
we
should.
I
think
the
objective
right
now
should
be
to
make
sure
that
everybody's
compliant
with
the
deal
the
transaction
as
a
whole
and
not
try
to
make
it
absolutely
perfect
on
day
zero,
otherwise,
we'll
be
having
this
conversation
in
one
calendar
year,
but
where
it
morphs,
where
maker
reps
also
start
having
a
risk
component,
because
at
the
end
of
the
day,
that's
really
what
it
is.
B
Now,
as
far
as
the
next
steps
go,
I
frankly,
I
need
to
work,
probably
with
our
resident
governance
facilitator
along
for
wisdom,
to
make
sure
that
we,
whatever
the
proper
way,
is
to
just
nominate
10
people
and
just
throw
it
out
there
and
get
started
and
have
that
all
happen
in
parallel
to
all
the
other
governance
voting.
That's
going
on.
That
would
enable
the
beginnings
of
this
real
world
asset
component
because,
after
you
know,
even
assuming
without
being
too
presumptuous.
E
E
I
can
actually
work
with
this
rep
right
that
at
some
point
in
this
whole
process
of
setting
up
the
initial
team
of
reps
and
and
whoever
might
be,
the
contact
lead,
that's
going
to
interact
with
your
attorneys
and
your
you
know.
You
know
all
the
different
facilities
that
you're
going
to
provide
in
the
end,
you
want
the
ability
to
be
able
to
not
just
rate
these
people,
but
to
approve
or
disapprove
in
the
future
right
like.
E
E
Can
we
work
together
positively
versus
having
a
lot
of
strife
right,
and
so
I
think
it's
an
important
component
here
is
the
feedback
from
lenco
sort
of
almost
like
an
approval
status
like
every
maker
rep
in
the
group
is
going
to
be
provisional
with
blenco
until
lenco
finally
goes
thumbs
up
on
this
rep?
I
can
work
with
this
guy
or
lady
or
whatever
right.
B
I
frankly
hadn't
thought
about
that.
There's
an
aspect
to
that.
I
wholeheartedly
agree
with
and
at
the
same
time
also
simultaneously
reject,
because
as
long
as
the
other
counterparty
is
a
reasonable
person,
lenco
shouldn't
be
able
to
object
to
oversight
just
simply
because
it's
a
little
bit
uncomfortable.
The
question
is
not
when
it's
a
little
bit
uncomfortable.
The
question
is
when
it
becomes
just
just
untenable
right
and
if
it's
untenable,
then
you
know
we'll
have
to
jump
off
one
bridge
at
a
time
I
out
of
the
folks.
B
A
A
So
if
you
guys
want
to
join
us
over
there
you're
more
than
welcome,
let's
keep
the
conversation
going.
The
forum,
I
feel
like
we're,
making
a
lot
of
progress.
So,
let's
keep
this
going
and
if
we
need
to
have
another
of
these
calls
to
to
clear
it
out.
Let's,
let's
thanks
everyone
for
presenting
on
your
on
your
participation,
see
you
in
the
other
side.