---
tags: Collateral Call
---

# Collateral Call Summary - Episode #17
November 25th, 2020

## Agenda

- [00:00](https://www.youtube.com/watch?v=1SnN7WB3ffw&t=0): Intro with Juan Guillén
- [00:53](https://youtu.be/1SnN7WB3ffw?t=53): Blocksquare with Denis Petrovcic et al
- [23:43](https://youtu.be/1SnN7WB3ffw?t=1423): Q&A and Discussion about Collateral Blocksquare

## Video

<https://www.youtube.com/watch?v=1SnN7WB3ffw>

## Introduction

### Juan Guillén

#### Agenda and Preamble
[00:00](https://www.youtube.com/watch?v=1SnN7WB3ffw&t=0)

- Welcome to another Collateral Onboarding Call. Today we are here joined by Denis, Victor and Jure from Blocksquare. They're going to explain their project and hopefully we can have an open conversation and ask questions, interrupt a lot and they can tell us more about the project.
- Discussions about collateral happen in the [Forum.](https://forum.makerdao.com/c/risk/collateral-meetings/23)

## Collateral Blocksquare

- [Real estate tokenization protocol: A Pre-MIP Discussion
](https://forum.makerdao.com/t/real-estate-tokenization-protocol-a-pre-mip-discussion/5169)

### Denis Petrovcic et al

#### Presentation
[00:53](https://youtu.be/1SnN7WB3ffw?t=53)


























#### Discussion

- [23:43 - What are the various transfer restrictions applied to the token?](https://youtu.be/1SnN7WB3ffw?t=1423)
- [25:33 - In some of the other RWA applications we've had the liquidations are handled off-chain. How would you liquidate these assets on-chain given the transfer restrictions and demonstrate that there will actually be liquidity in the event that the asset is liquidated?](https://youtu.be/1SnN7WB3ffw?t=1533)
- [30:36 - When you were mentioning that the company signs a corporate resolution, in effect you're basically tokenizing a revenue participation agreement, which I think is quite novel. The question I have, though, is: how is that actually implemented in the context of -- whoever is paying that revenue, where is the crossover point where you're going from fiat into a token? How is that managed?](https://youtu.be/1SnN7WB3ffw?t=1836)
- [33:01 - We would prefer to have on-chain liquidations in Maker, but other implementations are actually using option liquidations as well because we just can't find a way to make them on-chain because of all these constraints that you mentioned. With the property token that you issue, I'm not really sure if even option liquidations are truly possible.](https://youtu.be/1SnN7WB3ffw?t=1981)
- [38:06 - Even if things go right, when someone ---Maker or someone else--- gets these tokens, do you know what future returns to expect or it's more like I'm buying Tesla and I hope it goes up compared to...?](https://youtu.be/1SnN7WB3ffw?t=2286)
- [41:00 - Right now, when we issue a loan in Dai, we put a fee which is equivalent to the interest rate, but I'm guessing that in this case that would not be the case, that you would be sharing any potential revenues but they would not be determined by what we call the stability fee](https://youtu.be/1SnN7WB3ffw?t=2460)
- [43:45 - With regards to restrictive tokens, is it possible to do an ERC1404? I would imagine yes, so: assuming I'm a commercial property owner, I have a mixed-use property and I want to raise some money to fix the building, I guess I could go generate some register securities as tokens, use your platform to get these tokens and then give them out to the people who want to invest. And then I could put some restrictions on it with something like an ERC 1404](https://youtu.be/1SnN7WB3ffw?t=2625)

## Closing Comment

### Juan Guillén

#### Outro
[47:19](https://youtu.be/1SnN7WB3ffw?t=2839)

- [Seb wants to give us an update on the RWA working group](https://youtu.be/1SnN7WB3ffw?t=2839). Thank you again, Denis, Viktor and Jure from Blocksquare for coming to the call. Let's keep the conversation going on the forum.

## Credits

- @Blimpa produced this summary.
- Everyone who spoke and presented on the call, listed in the headers.