1. Unique model: The first PayFi network in the world.
Huma Finance is the first "PayFi" (Payment-based Finance) protocol that integrates traditional finance and decentralized finance (DeFi). It is based on the idea of converting future income streams (such as commercial invoices, freelance earnings, or platform revenues) into digital collateral on the blockchain, allowing individuals and businesses to obtain instant liquidity in stablecoins like USDT or USDC.
How does it work?
For borrowers: Pledge their future income (e.g., a creator on Patreon or a company with outstanding invoices) to obtain instant loans.
For liquidity providers: Deposit stablecoins in credit pools to earn fixed returns + rewards from the HUMA token.
2. Technical mechanism and innovation
Real Asset Tokenization: Converts invoices and commercial payments into digital tokens used as collateral on-chain.
Credit verification: Combines off-chain data (such as income records from Stripe or Superfluid) with on-chain smart mechanisms to assess risks.
Built on Solana: The team chose the Solana network for its high speed (65,000 transactions/second) and low cost, making it suitable for processing small and recurring payments.
3. HUMA Token Economics
ParameterValueRoleTotal Supply10 billion tokensFixed maximum cap.Circulating Supply~1.73 billion tokens17% of total supply.Current Price~$0.035 (July 2025)Down ~69% from the peak ($0.11).Burn Mechanism50% of borrower feesUsed to buy and burn the token, increasing its scarcity.
Token Functions:
Governance: Participation of HUMA holders in protocol updates.
Incentives: Rewards for liquidity providers and network participants.
Burning: Reducing supply to achieve a balance between supply and demand.
4. Infrastructure and partners
Key partners:
Payment Platforms: Stripe, Request Finance, Circle, Superfluid.
Exchanges: Listed on Binance, KuCoin, OKX, Gate.io.
Huma 2.0 App: User-friendly interface on Solana supporting USDC/USDT deposits, earning loyalty points (Feathers), and trading assets.
5. Challenges and Opportunities
Risks:
Reliance on off-chain data: There may be gaps in credit verification.
Liquidity Risks: Stablecoin price fluctuations (depeg).
Regulatory Compliance: Ambiguity of laws in some countries.
Opportunities:
Massive market: Targeting the global trade finance market ($250 trillion).
Institutional expansion: Tailored solutions for businesses through KYC interfaces with risk tranches (Senior/Junior).
6. Future and development plan
GoalTarget DateLaunch on-chain governanceMid 2025Multi-network expansionEthereum L2, Stellar10 billion dollar payment financing2026
7. Comparison with competing projects
ProjectDifference from HumaTrueFi/MapleUnsecured loans (higher risks)CentrifugeFocuses on debt bonds (less flexible)RippleSlow centralized solutions.
Official project account 👇
