$HUMA is the native utility and governance token of the Huma ecosystem, with the following core utilities:
Governance - $HUMA token holders can stake their tokens to participate in protocol governance. The duration of the stake determines the voting power, encouraging long-term alignment with the protocol. Stakers are eligible to vote on key decisions, including the allocation of liquidity and ecosystem incentives, adjustments to protocol parameters, and the distribution of protocol incentives.
LP & Ecosystem Rewards - Huma token plays a pivotal role in the incentive program to bootstrap adoption and drive growth across the Huma protocol ecosystem.
- Liquidity providers (LPs) are rewarded with Huma for committing capital to the protocol, with higher rewards granted for greater and longer-term liquidity commitments.
- Huma stakers receive rewards through the staking multiplier and receive an additional boost to their LP positions.
- Ecosystem partners earn Huma relative to their contributions to critical KPIs such as transaction volume and protocol revenues.
- Community contributors are also eligible to receive Huma in recognition of efforts that support community engagement, development, and overall ecosystem health.