When most people think of DeFi lending, the first thing that comes to mind is over-collateralization. You deposit crypto worth thousands of dollars, only to borrow a small fraction of it. This system works, but it leaves out a massive group of people who don’t hold big assets but still have steady income.
Huma Finance is changing that. Instead of focusing only on volatile crypto assets, Huma introduces a model based on income-backed borrowing. That means your ability to earn and repay becomes the foundation of your credit, not the size of your wallet.
A Human-Centered Approach
Traditional finance often reduces individuals to credit scores and numbers. Huma flips the script by respecting personal data and real earning power. It acknowledges real-life financial behavior – how people work, earn, and pay back – instead of limiting credit access to those with assets.