Huma's Entry into Japan: Why Choose to Collaborate with Traditional Financial Institutions? Behind it Lies PayFi's Global Ambition
Huma arrived in Japan on August 22 and specifically collaborated with local traditional financial institutions. Many people wonder: Isn't PayFi decentralized? Why seek out traditional finance? In fact, this move reveals its global ambition.
Japan's financial market is very special.
On one hand, there is a high acceptance of crypto technology, while on the other hand, traditional financial institutions (such as Mitsubishi UFJ and Sumitomo Mitsui Trust) hold a vast amount of corporate and individual user resources, and compliance requirements are strict. Huma wants to promote PayFi in Japan, and relying solely on its own technology is not enough. Ordinary users and businesses may not trust “unknown crypto projects,” but if there is local financial institution backing, the sense of trust will be greatly enhanced. Moreover, traditional financial institutions also face challenges: for example, slow loan approvals for small and medium-sized enterprises, and high fees for cross-border remittances. Huma's technology can help them solve these problems, making the partnership “complementary.”
For instance, Huma might collaborate with Japanese banks to assist the banks' small and medium-sized enterprise clients with invoice-backed lending, where the bank provides customer resources, Huma offers technical support, and they share the profits; or partner with remittance agencies to allow cross-border workers to receive remittances through Huma in advance. This not only enables Huma to quickly penetrate the Japanese market but also allows it to accumulate experience in “collaborating with traditional finance,” paving the way for future expansions into Europe, Southeast Asia, and other markets, achieving a fully realized global layout.
