what I gathered from this video, is that the guy with knife is who pigeon usually buys wood from, but since the guy could only give 500 atm, Pigeon bought 200 wood from someone else. And the guy with the knife got mad so that's why they tried to hide it. But Pigeon explained that this will be the only time he'll buy from someone else, he just needed 1000 wood that day (which means he couldn't wait) to craft something.