Two trillion dollars in frozen paper. The thaw is built and on testnet.

What the collateral is

TMB collateral consists of discounted mortgage receivables and residential and commercial real-estate loans held in trust. It is not mineral collateral, and TMB conveys no interest in MXTK reserves.

The trade

Loan originators hold blended-rate MBS that current market would buy at ~80c on the dollar. They won't book the loss, so they don't sell, so they can't originate new loans. The market is frozen.

BV buys at 90c (a 10c premium over market) and the originator commits to a 20c future preferred claim payable to BV. On a $500M face deal that's $100M of pref. The MBS is wrapped into a TMB pool with senior, mezzanine, and junior tranches.

How it works

1. Acquire: BV buys the MBS at 90c and absorbs the mortgages into a TMBPool wrapper around a TranchingEngine pool.
2. Tranche: pool issues senior, mezzanine, and junior ERC-20 tranche tokens — a typical 50/30/20 split, senior and mezzanine on stated coupons and junior taking the residual.
3. Distribute: borrower payments flow through MortgageServicing (25 bps fee) into the pool, then through the sequential waterfall — senior coupon-to-satisfaction first, then mezzanine, then junior.
4. Recover: BV holds junior at acquisition (syndicate-able later). The 10c market discount accrues as junior NAV over the recovery period. The 20c originator pref is a standalone BVOriginatorClaim contract repaid on a fixed schedule.

Economics

Take a $500M face pool as an illustration. BV pays 90c, or $450M, against paper the open market would take at ~80c. Two things follow from that.

The $50M discount to par is not a mark — it is recognised as the mortgages pay down at par over the recovery period, which is what the DiscountAccrual contract computes on chain. And the originator's 20c commitment is $100M on that deal, held as a standalone BVOriginatorClaim on a fixed repayment schedule, independent of how the pool performs.

Alongside those sit the coupon on the underlying mortgages and the servicing fee. The coupon and discount legs move with prepayment speed and default rate; the preferred claim does not. That asymmetry is the point of the structure — the leg that carries a slow or stressed case is the one that does not depend on the pool.

Pool-level modelling — cash-flow schedules, sensitivities and break-even analysis — is shared with qualified counterparties under NDA.

Trust

• External audit by OpenZeppelin in progress — mainnet deployment is gated on its completion
• 1,001 mortgage-system tests including end-to-end base/bull/bear scenario integration
• Offered under Regulation S to non-U.S. persons, senior and mezzanine tranches alike. A U.S. Reg D 506(c) channel opens once the CLARITY Act passes — see the FAQ above. (This page previously stated both postures; the Reg S one governs.)
• BV is servicer-of-record; servicing fee accrues to BV regardless of pool routing