Why Huma Finance is Considered a Representative of "On-chain Income-Supported Financing"
Traditional lending markets often rely on collateral, but in reality, many people may not have sufficient assets but do have stable income sources. @Huma Finance ๐ฃ recognized this, and through the "income-based financing" model, made on-chain credit closer to real life.
Under Huma's framework, borrowers can use future income as a credit credential to obtain financial support; while lenders can transparently track the flow of funds through smart contracts, reducing default risk. This mechanism not only enhances efficiency but also brings more diverse lending models to the entire DeFi ecosystem.
The emergence of #HumaFinance signifies that on-chain finance is no longer just a synonym for speculation and high leverage, but is truly beginning to take on the responsibility of serving the economy. It allows capital on the blockchain to flow to a broader audience, making "financial inclusion" an achievable goal.
