Huma Finance’s protocol is built on advanced blockchain architecture with a strong focus on security. Its foundation is a modular PayFi stack—modeled after network-layer systems—developed with insights from Solana, Stellar, and Circle. In its 2.0 version, Huma runs on high-performance Layer-1 networks, with Solana deployment enabling sub-second transaction finality and extremely low fees—key for payment applications. Future expansions include Stellar’s upcoming smart-contract platform, providing multiple settlement options.
Stablecoins are central to the ecosystem. Huma uses USDC and similar regulated digital currencies for all lending activity. Backed by reserves and offering on-chain transparency, USDC provides reliable, secure collateral, as highlighted in Circle’s partnership announcement. The protocol also mints a liquid LP token—$PST (PayFi Strategy Token)—for staked assets. $PST integrates with Solana’s DeFi landscape through Jupiter and Meteora AMM pools, enabling instant swaps and cross-protocol composability.
Security is integral to the design. All smart contracts undergo top-tier audits: Solana-based Huma 2.0 contracts were reviewed by Halborn, while institutional contracts across Solana, EVM, and Stellar/Soroban were vetted by Spearbit and Certora. Governance and admin controls are protected by multi-signature setups, ensuring no single key can compromise user funds. Key operations loan creation, repayment, and liquidation are fully automated on-chain via audited contracts.
By combining high-speed blockchains (Solana/Stellar), regulated stablecoins (USDC), tokenized LP mechanics ($PST), and rigorous security audits, Huma delivers a scalable, trustworthy infrastructure for global payment financing.
