链研社lianyanshe
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Following the previous article, netizens in the comments section mentioned that Huma Finance (@Huma Finance 🟣 ) has the slogan "Spend tomorrow's money today". Isn't it easy to commit fraud this way?
In fact, Huma has a core weapon—the "Cash Flow CT Machine" smart contract system: Do you think the receipts you upload only consider the deposit amounts you upload?
No! Through machine learning and training on a vast amount of historical cash flow samples, it can accurately identify the risk differences among various types of income.
For example: If you are a civil servant with a stable salary and low default rate, the discount rate could be as high as 90%; if you are a contractor with project-based income that fluctuates, the system will dynamically adjust the discount rate based on project performance and other factors, to 70-80%.
Regarding the intent to commit fraud for loans, Huma Finance's response strategy is a multi-layered, in-depth defense system.
1. Preemptive Prevention
It will integrate and verify with trusted third-party data sources through API. For instance, if you are a freelancer, it may connect to platforms like Upwork and Fiverr to verify your historical order records and income streams.
Risk pricing engine. It will assess your credibility and the reputation of the payer, whether it’s a large company like Apple or Xiaomi, or a newly established small company.
2. In-Process Monitoring
On-chain identity and reputation system. Credit records accumulate, and once a default occurs, especially if deemed fraudulent, that wallet address will be permanently marked within the Huma protocol. This "stain" is public, transparent, and immutable.
3. Post-Processing
If someone really breaks through the first two defenses, successfully borrows funds, and defaults, this smart contract will mark the loan as "defaulted".
Collateral (if any) will be automatically liquidated to compensate the lender's losses.
Legal measures for recovery: For some “permissioned” funding pools that require KYC (Know Your Customer) identity verification, the borrower's real identity off-chain is known. If fraudulent actions occur, legal measures can be used for recovery.
For someone trying to defraud a loan from Huma Finance using false data, they will face a dilemma of "high cost, low return, high risk". This is precisely the powerful and resilient risk control system that Huma Finance and other RWA protocols strive to build.
#humafinance
In fact, Huma has a core weapon—the "Cash Flow CT Machine" smart contract system: Do you think the receipts you upload only consider the deposit amounts you upload?
No! Through machine learning and training on a vast amount of historical cash flow samples, it can accurately identify the risk differences among various types of income.
For example: If you are a civil servant with a stable salary and low default rate, the discount rate could be as high as 90%; if you are a contractor with project-based income that fluctuates, the system will dynamically adjust the discount rate based on project performance and other factors, to 70-80%.
Regarding the intent to commit fraud for loans, Huma Finance's response strategy is a multi-layered, in-depth defense system.
1. Preemptive Prevention
It will integrate and verify with trusted third-party data sources through API. For instance, if you are a freelancer, it may connect to platforms like Upwork and Fiverr to verify your historical order records and income streams.
Risk pricing engine. It will assess your credibility and the reputation of the payer, whether it’s a large company like Apple or Xiaomi, or a newly established small company.
2. In-Process Monitoring
On-chain identity and reputation system. Credit records accumulate, and once a default occurs, especially if deemed fraudulent, that wallet address will be permanently marked within the Huma protocol. This "stain" is public, transparent, and immutable.
3. Post-Processing
If someone really breaks through the first two defenses, successfully borrows funds, and defaults, this smart contract will mark the loan as "defaulted".
Collateral (if any) will be automatically liquidated to compensate the lender's losses.
Legal measures for recovery: For some “permissioned” funding pools that require KYC (Know Your Customer) identity verification, the borrower's real identity off-chain is known. If fraudulent actions occur, legal measures can be used for recovery.
For someone trying to defraud a loan from Huma Finance using false data, they will face a dilemma of "high cost, low return, high risk". This is precisely the powerful and resilient risk control system that Huma Finance and other RWA protocols strive to build.
#humafinance
Disclaimer: Includes third-party opinions. No financial advice. May include sponsored content. See T&Cs.