DeFi has already redefined lending and borrowing, but most protocols still rely on overcollateralized loans, locking up crypto assets to borrow against. Huma Finance (HUMA) is breaking this mold by introducing PayFi a payment + financing network designed for the real economy.
What Is Huma Finance?
Huma Finance is pioneering the first PayFi network, blending payment rails with financing infrastructure. Instead of asking users to deposit large amounts of crypto, it enables borrowing against future income streams such as:
Salaries
Invoices
Remittances
Other receivables
This makes credit more inclusive and relevant to everyday financial activity.
How It Works
At the core of Huma’s design is the Time-Value-of-Money (TVM) model, which analyzes future income and cash-flow patterns. Using this model:
Users can unlock 70–90% of their expected future revenue.
Smart contracts ensure trustless, secure execution.
Loans are instant, automated, and do not require traditional collateral.
By turning cash flow into collateral, Huma enables uncollateralized lending that is scalable, transparent, and far closer to real-world finance.
Why It Matters
Bridging TradFi and DeFi → Brings receivables financing and payroll-based credit to the blockchain.
Financial Inclusion → Expands credit access to users who may lack large crypto holdings.
Efficiency → Liquidity is unlocked instantly through automated smart contracts.
