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⚡ Core Advantages: Why Do Institutions Choose Huma?
The pain points of traditional payment settlement are 'slow' (takes days to arrive), 'expensive' (high fees), and 'opaque' (black box process). Huma Finance addresses these issues through three major innovations:

1. ​24/7 Instant Settlement with Stablecoins​
Institutions no longer rely on SWIFT (which takes 1-5 business days) or pre-financing (which requires large amounts of reserve funds to be deposited in advance), but directly utilize the ​stablecoin liquidity​ provided by the Huma protocol (such as USDC/USDT) for payments. Stablecoins are issued on the blockchain, allowing transfers to arrive in seconds and being universally applicable, completely breaking the temporal and spatial limitations of traditional payments.

2. ​Extremely Low Transaction Fees​
The cost of using liquidity for institutions is very low—​each transaction only requires paying 6-10 basis points (bps) per day​ (meaning a $10,000 transaction only costs $0.6-$1 per day), which is far lower than the fees for traditional cross-border payments (typically 1%-3%) and the capital occupation cost of pre-financing (which can have an opportunity cost of up to an annualized 5%-10%).

3. ​High Liquidity Reuse, Exponential Growth in Returns​
Since settlements are completed within 1-6 days, liquidity within the protocol is ​quickly reused​ . For example, if a piece of liquidity is borrowed by Institution A for 3 days and then returned, it can immediately be used by Institution B for a new settlement, meaning a single amount of capital could be reused hundreds of times within a year. The small daily fee rate (6-10 bps) contributes significantly to the protocol's ​compound return rate​ through high-frequency reuse and the compounding effect—this is the core logic behind Huma Finance's ability to create high returns for ecosystem participants (such as liquidity providers).

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