Differences Between Huma Finance and Traditional Finance
Many people may first compare Huma Finance with the lending models of traditional finance. In fact, there are indeed similarities, but in terms of mechanisms and philosophies, Huma Finance brings disruptive innovations.
Traditional bank loans often require a large amount of collateral, cumbersome approval processes, and higher interest rates. This not only increases the burden on borrowers but also leaves many people excluded from financial services. Huma Finance, through on-chain technology, digitizes future income and cash flow, thus realizing a whole new decentralized financing method.
The advantages of this model are:
1. Low threshold: No need for a large amount of crypto assets; cash flow itself is the value support.
2. Transparent and efficient: All processes are executed through smart contracts, avoiding human intervention.
3. Globally accessible: Anyone with a crypto wallet can participate, without relying on traditional financial institutions.
This means that Huma Finance is not replicating traditional finance but is creating a new financial ecosystem that is more open and inclusive. It is expected to become an important force in promoting the integration of DeFi and the global economy.
@Huma Finance 🟣 $BNB #HumaFinance
