The lending model of traditional financial systems typically relies on physical assets or crypto assets as collateral. In the world of decentralized finance, Huma Finance is breaking this limitation, creating a completely new way of borrowing.
Huma Finance is the first to build the world's first PayFi network, providing global users with unsecured loans based on future income streams (such as salaries, invoices, or remittances) through the integration of payment and financing infrastructure.
Unlike traditional crypto lending platforms, Huma Finance allows users to use future income streams as collateral for loans, meaning there is no need for traditional assets (such as real estate or stocks) as collateral. Based on the Time Value of Money (TVM) model, users can securely and instantaneously borrow funds through smart contracts, with the loan amount matching 70-90% of the user's future income. Huma Finance makes borrowing more flexible by analyzing cash flow patterns, addressing the reliance on collateral in traditional lending.
The innovation of Huma Finance lies in the fact that it is not just a decentralized finance protocol; it provides new possibilities for income stream lending within the blockchain ecosystem. By combining with blockchain technology and smart contracts, Huma Finance can meet the demand for instant liquidity for more people with lower risk and cost.
Whether for small businesses or individual users, everyone can utilize future income to obtain the necessary funds, avoiding the complex approval processes and high-interest costs of traditional finance.
With the comprehensive development of the PayFi network, Huma Finance is redefining the lending market. By allowing users to use future income as the basis for unsecured loans, Huma Finance not only expands the application scenarios of decentralized finance (DeFi) but also breaks the shackles of traditional finance, creating more opportunities for financial freedom for everyone.
