---
tags: G&R
---

# Episode #213: October 27th, 2022

## Agenda

- [00:00](https://www.youtube.com/watch?v=m6B5V7hcvEA): Introduction
- [1:34](https://youtu.be/m6B5V7hcvEA?t=94): Votes and Polls
- [3:13](https://youtu.be/m6B5V7hcvEA?t=126): MIPs Update
- [12:17](https://www.youtube.com/watch?v=m7JQidyg7uU): Weekly Forum Recap
- [8:10](https://youtu.be/m6B5V7hcvEA?t=490): Initiatives Update: Endgame Effects w/ Core Units
- [33:32](https://youtu.be/m6B5V7hcvEA?t=2012): Discussion: MIP88: Monetalis - Redwood Friesian
- [47:57](https://youtu.be/m6B5V7hcvEA?t=2877): Discussion: MIP89: Monetalis - Arrow Andalusian

## Video

[Link](https://www.youtube.com/watch?v=m6B5V7hcvEA)

## General Updates

### Votes

#### Patrick_J

[1:34](https://youtu.be/m6B5V7hcvEA?t=94)

^{**Visit:** [_Voting Portal_](https://vote.makerdao.com/)}</sup>

> **Votes:**
> - *Polls:* -- [1:35](https://youtu.be/m6B5V7hcvEA?t=95)
> - *Executive Proposals:* -- [2:06](https://youtu.be/m6B5V7hcvEA?t=126)

### MIPs

#### Pablo

[3:13](https://youtu.be/m6B5V7hcvEA?t=126)

^{**Visit:** [_Weekly MIPs Update #110_](https://forum.makerdao.com/t/weekly-mips-update-110/18493)}

[MakerDAO Votes and Polls Public Calendar](https://calendar.google.com/calendar/embed?src=bdf4un05hpg0611lg3ieue4t3c%40group.calendar.google.com&ctz=America%2FNew_York)

<sup>**Important Dates:** _November 2^nd is the last day to introduce modifications in eligible proposals aiming to enter that Governance Cycle. The formal submission window opens November 7^th._

> **October Ratification Polls Outcomes:**
> - _The Endgame Prelaunch MIP Set_ -- [3:19](https://forum.makerdao.com/tag/endgame-prelaunch-mip-set)

> **Proposals in RFC:**
> - _Core Unit Budgets_ -- [4:33](https://youtu.be/m6B5V7hcvEA?t=273)
> - _Top Level MIPs_ -- [4:50](https://youtu.be/m6B5V7hcvEA?t=290)
> - _Other Subproposals_ -- [5:28](https://youtu.be/m6B5V7hcvEA?t=328)

### Weekly Forum Recap

#### Artem Gordon

[Video Recording](https://www.youtube.com/watch?v=m7JQidyg7uU)

^{**Visit:** [_Weekly Forum Recap: October 20^th - October 26^th, 2022_](https://forum.makerdao.com/t/weekly-forum-recap/16247/29)}

> **News & Announcements:**
> - [_LBS Blockchain - Envoy Proposal Alerter_](https://forum.makerdao.com/t/tooling-lbs-blockchain-envoy-proposal-alerter/18500)

> **Proposal Ideas:**
> - [_Utilizing Hats Protocol ERC-1155s_](https://forum.makerdao.com/t/proposal-idea-utilizing-hats-protocol-erc-1155s/18480)
> - [_Fixed rates strategies and mechanisms in the Decentralized Collateral Scope_](https://forum.makerdao.com/t/fixed-rates-strategies-and-mechanisms-in-the-decentralized-collateral-scope/18529)

> **Signal Requests:**
> - [_A Note on Signal Request_](https://forum.makerdao.com/t/a-note-on-signal-requests/18501)
> - [_Clear Vaults’ Bad Debt in the MakerDAO protocol_](https://forum.makerdao.com/t/signal-request-clear-vaults-bad-debt-in-the-makerdao-protocol/18376)
> - [_The SHCU Requests a One-Month Budget Extension_](https://forum.makerdao.com/t/signal-request-the-shcu-requests-a-moment-of-your-time/18466/1)

## Initiatives Update

### Endgame Effects w/ Core Units

[8:10](https://youtu.be/m6B5V7hcvEA?t=490)

^{**Visit:** [Endgame Plan v3 complete overview](https://forum.makerdao.com/t/endgame-plan-v3-complete-overview/17427)}

> **Contents:**
> - _CES_ -- [08:43](https://youtu.be/m6B5V7hcvEA?t=523)
> - _GovAlpha_ -- [13:45](https://youtu.be/m6B5V7hcvEA?t=825)
> - _Strategic Finance_ -- [23:42](https://youtu.be/m6B5V7hcvEA?t=1422)
> - _Risk_ -- [31:57](https://youtu.be/m6B5V7hcvEA?t=1917)

## Discussion

### MIP88: Monetalis - Redwood Friesian

#### David Utrobin

[33:32](https://youtu.be/m6B5V7hcvEA?t=2012)





[35:27](https://youtu.be/m6B5V7hcvEA?t=2127)

- **Redwood:** Both parties (Arrow and Redwood) are talking about moving to private structure credit in the United States and Europe. Monetalis is trying to set up the metaDAO situation with MIP 65 as the pyramid foundation. MIP 65, 88, 89, and 82 are trying to get us to a place with a sufficient amount of approved counterparties for the metaDAO to develop an appropriate asset allocation strategy that would work for a stablecoin...

[38:46](https://youtu.be/m6B5V7hcvEA?t=2326)

- **Jeremy:** Redwood Trust is a publically traded company; our ticket is RWT. Our business involves residential housing. We aggregate loans to create assets for our investor base. Redwood has been doing this since 1996.
- **Alan:** That was a wonderful introduction.
## Discussion

### Discussion: MIP89: Monetalis - Arrow Andalusian

[47:57](https://youtu.be/m6B5V7hcvEA?t=2877)

- **John:** I am the head of group I.T. with a second function as the principal of distribution and securitization for blockchain tokenization. Arrow is a vertically integrated asset manager and servicer in Europe. We service loans and assets on behalf of 200 banks across five countries. We own 17 servicing platforms and have 70 billion Euros under management. We own about two billion.

[56:48](https://youtu.be/m6B5V7hcvEA?t=3408)

- **Jeremy:** Paper asked about the discount for Maker. Any costs associated with that are on the Redwood side.

[1:00:26](https://youtu.be/m6B5V7hcvEA?t=3626)

- **Jeremy:** There is another question about commercial-backed securities and the inclusion of this collateral. We would not cross-collateralize residential and commercial levels.

[1:03:33](https://youtu.be/m6B5V7hcvEA?t=3813)

- **Allan Pederson:** Someone asked why there are so many MIPs when MIP 65 is just starting. This is because I need to ensure that the metaDAO has a sufficient range of options to invest from.

[1:04:43](https://youtu.be/m6B5V7hcvEA?t=3883)

- **Allan Pederson:** Someone asked why I think cash from the issuances should be reinvested. In both cases, there is monthly interest coming in from the principal. The cash flow will go back to Maker for its operating costs. This maintains the exposure.

[1:06:04](https://youtu.be/m6B5V7hcvEA?t=4014)

- **Allan Pederson:** Now that signal requests are no longer valid, how do you engage the community’s appetite to keep investing versus taking back the proceeds to SB?
- I need to work on solving that.

[1:08:09](https://youtu.be/m6B5V7hcvEA?t=4089)

- **Allan Pederson:** Will the Sequoia Platform also incur allocations to the CMBS market?
- No, not in this particular case.

[1:08:53](https://youtu.be/m6B5V7hcvEA?t=4133)

- **Allan Pederson:** Who bares the Balloon Risks in the RMBS?
- **Jeremy:** The investor.
- **Person 3:** Is there an RMBS tranche in the portfolio?
- **Jeremy:** Not in the current structure, but we could.

[1:13:27](https://youtu.be/m6B5V7hcvEA?t=4406)

- **ElPro:** How will MIP 89 structure itself to the appetite of the Maker community?
- **Alan:** Arrow will define a credit box that specifics the portfolios going into this MIP.

[1:16:13](https://youtu.be/m6B5V7hcvEA)

- **ElPro:** Can you walk us through non-performance loans (NPLs)?
- We will not be doing NPLs. The future relates more to ESG and green lending.

[1:19:33](https://youtu.be/m6B5V7hcvEA?t=4773)

- **Alan:** How much should we allow a single actor to control? Is it better to split existential risk levels between several actors?
- **David:** Where does the risk lie?
- **Alan:** We are not at the point of failure because we are not making the investments.

[1:23:19](https://youtu.be/m6B5V7hcvEA?t=4999)

- **Alan:** Who is monitoring the total rehypothecated USDC number?
- Strategic Finance is doing work on this.

[1:28:00](https://youtu.be/m6B5V7hcvEA?t=5280)

- **Alan:** How do these two MIPs relate to MIP 65?
- They both work to present the metaDAO with a range of asset options to build a portfolio with the stablecoin. They also share similarities in legal setups.

[1:28:56](https://youtu.be/m6B5V7hcvEA)

- **Alan:** Can you explain the MIP titles? Why the houses?
- A project always needs a memorable title. I ride horses, and each initiative is named after another horse breed.

[1:29:37](https://youtu.be/m6B5V7hcvEA?t=5377)

- **Alan:** How is this related to the Clean Money Initiative?
- Redwood and Arrow are very receptive to using greenhouse gas accounting.

[1:31:06](https://youtu.be/m6B5V7hcvEA)

- **Alan:** Are there any management fees? How does Monetalis make money? Are there any kickbacks?
- There are no kickbacks. We are trying to figure out reasonable fees. There aren't many comparable models for arrangers.

## Conclusion

### David Utrobin

[1:33:14](https://youtu.be/m6B5V7hcvEA?t=5594)

[Suggestion Box](https://app.suggestionox.com/r/GovCallQs)

## Credits

- Larry Wu produced this summary.
- Artem Gordon produced this summary.
- Everyone who spoke and presented on the call.