Huma Finance (HUMA): The world's first PayFi network, opening a new model for future lending
In traditional financial systems, loans often require collateral assets, but Huma Finance (HUMA) is breaking this model by being the first to construct the world's first PayFi network. This network integrates payment and financing infrastructure, aiming to provide new support for real-world income and on-chain credit based on accounts receivable.
Unlike traditional lending models supported by cryptocurrency, Huma Finance allows users to borrow against future income streams (such as wages, invoices, or remittances). This innovative model promotes the realization of unsecured lending by leveraging the Time Value of Money (TVM) model, addressing the complex reviews and high thresholds faced by traditional loans.
Huma's protocol can instantaneously and securely provide liquidity matching 70-90% of users' expected future income by deeply analyzing cash flow patterns and combining the advantages of smart contracts. This means that users can obtain instant funding related to future income without traditional asset collateral, significantly enhancing the flexibility and efficiency of fund utilization.
Through this innovative network, Huma Finance not only promotes the development of decentralized finance (DeFi) but also provides more inclusive financing opportunities for users worldwide. This income stream-based unsecured lending method offers more choices and opportunities for those who struggle to obtain loans through traditional financial institutions.
