Today's financial systems were built for the past, not the future. We need new payment systems equipped to scale that are instant, programmable, and borderless.
Key Takeaways
Huma pioneered an open framework for the PayFi Stack, divided into six layers to facilitate payment financing solutions globally.
Transaction Layer: High-speed, low-cost blockchains (L1s and L2s) ensure efficiency and security in transactions.
Currency Layer: Stablecoins and yield-bearing currencies facilitate seamless, stable, and compliant payments.
Custody Layer: Advanced solutions like MPC and smart contract-based custody manage secure asset ownership and real-time settlements.
Compliance Layer: Integrates global regulations using on-chain identity to ensure regulatory adherence.
Financing Layer: Connects capital with demand through transparent, tokenized assets and risk management on the blockchain.
Application Layer: Provides the infrastructure for building intuitive and compliant financial applications using the stack's capabilities.
In most geographies, money moves more slowly than expected. Even in the “hyperconnected 2024”, long settlement times, high transaction fees, and limited access to credit are still the norm. Traditional financial systems, designed in an era of centralized banking and static infrastructure, are struggling to keep pace with the growing demands of a hyper-connected global economy.
We need a new financial paradigm that reflects modern realities, one in which payments and financing are instant, programmable, and accessible to everyone, everywhere. PayFi is that paradigm.