Brothers, does DeFi lending make you love and hate it? Love the interest rates that are better than banks, hate the fact that 'over-collateralization' is simply a 'capital black hole'! Want to borrow 100 bucks? First pledge 200 bucks! What’s the result? A bunch of money lying dormant in the protocol, with a utilization rate of less than 40%, capital efficiency so low it makes people cry.

But recently, there's a project called Huma Finance that has turned the tables—'Isn't it nice to borrow money on credit?'

1. On-chain credit = your DeFi 'Huabei'?

Huma played a tough game: it doesn't look at how much you pledge, but how well you mingle on-chain!

Are you an old retail investor? (Address activity level)

Do you often transfer assets across chains? (Funds flow records)

Have you been 'brushing your presence' in various protocols? (Interaction depth)

These behavior data, Huma analyzes with machine learning and gives you a score directly—high score? Low-interest limits are yours for the taking! Isn't this the on-chain version of 'Sesame Credit'?

2. Three major skills to cure DeFi's 'old problems'

① Dynamic credit: Good credit? Interest rates are directly discounted! (The top 20% of users have rates 35% lower than the market)

② Gradual liquidation: Credit decline? First reduce the limit, no 'sudden death liquidation'!

③ Cross-chain universal: Credit earned on Ethereum can also be used on Arbitrum—achieving a full-chain 'credit ID'!

3. HUMA token: Credit is money!

This token can not only be traded but also 'invest in' the credit system:

Staking $HUMA? Vote to decide the scoring rules!

High credit score? You get a share of the protocol's income!

(To put it bluntly, good people on-chain should make more money!)

Traditional DeFi lending is like a 'pawn shop mentality'—no collateral? Not a chance! What’s the result? The poor get poorer, the rich get richer... Huma's operation is like a 'targeted poverty alleviation' for DeFi—those with good credit can still borrow money even if their wallet isn't full!

As privacy technologies like zero-knowledge proofs (ZKP) mature, Huma can secretly analyze your data (like Gitcoin donation records) without exposing your privacy—at that point, on-chain credit may be more reliable than bank credit!

Huma is not improving DeFi lending, it's rewriting the rules. If it really works, borrowing money might just be one sentence: 'I'm a regular on the chain, my reputation is solid!'