Depends: Do you want to buy properties (obviously this "technique" doesn't work :-) or do you just want to feel like you control the whole transaction?

I'm new to the area so I'm trying to learn my way around and apply the tools and techniques I've used for SFR investing.

I give specific assignments at each session and hold the client accountable for the completion of those assignments making sure they understand that the reason for the assignment is to help them learn and grow by applying the techniques or strategies being taught.

There were times were the bank I worked at would turn away the business because we didn't want to risk (with our regulator) performing a transactions we strongly felt was prohibited and us ending up getting in trouble as well.The penalty if you get caught is that your entire IRA account (one account where the transaction occurred) is considered to be distributed and therefore a taxable event. 

I would definitely recommend having a separate bank account and a separate set of accounting from his personal (if he doesnt already), in which case he would have to write a check to himself for any distributions, and maybe that was what his friend meant by he would have to pay himself.  

-Do I treat this transaction as a Realtor would (even though I am not a "Realtor" in this transaction) and complete a Distribution Auth. for commission that I am paying myself?...

When I have the time I will distribute a couple of dollars into a few different cryptos to speculate. 

The course as I recall is on real estate techniques, and he asked students what we want to cover as the course does not have an exact syllabus.

Ditto for hard money interest, LP distributions, etc.  

You don't need to distribute the funds to invest in real estate, just change the account type.