On-chain Future Income
Traditional finance relies on collateral assets, while DeFi relies on digital assets, which prevents a large number of people with stable incomes worldwide from obtaining financing. Huma Finance's PayFi model uses future income as the core credit asset to achieve on-chain financing services.
Personal income, corporate invoices, cross-border remittances, and more can serve as the basis for loans, with smart contracts determining limits and automatic deductions for repayments. The financing funds can be directly used for payment scenarios, creating a complete closed loop. Cross-border workers receive funds instantly, at low cost; small and micro enterprises can obtain loans based on cash flow, with flexible funding available.
The value of PayFi lies in bridging the real economy and on-chain finance, allowing more people with 'income but no assets' to enjoy financial services. Huma Finance uses technology and innovative models to reshape the credit system, providing new pathways for financial inclusion and sustainable development of on-chain finance.