In the field of financial technology, Huma Finance is leading a revolution in credit models. The platform is based on the innovative concept of "future income streams" and has built a three-layer technical architecture that completely reshapes the traditional credit system.

The first layer is the cash flow capture layer. Huma Finance achieves seamless integration with enterprise ERP systems, cross-border payment platforms, and freelancer work platforms through extensive API interfaces. This allows the system to obtain various income data in real-time, including payroll records, invoice confirmations, and cross-border remittances, among 12 types of raw data, with data precision reaching hourly levels. For example, in collaboration with a Southeast Asian travel platform, drivers can authorize the system to access their daily income details for nearly the past six months. It is noteworthy that this sensitive data is encrypted using zero-knowledge proof, exposing only the necessary features to the protocol, effectively protecting user privacy.

The second layer is the risk pricing engine, which is the core of Huma Finance's technological innovation. This engine has trained a highly accurate machine learning model based on over 5 million historical cash flow data. This model can keenly identify the risk characteristics of different types of income. For example, for the relatively stable salaries of civil servants, the model would assign a high discount rate of 90%. However, for the more volatile project-based income, such as construction contractors' project payments, the model dynamically adjusts the discount rate between 70% and 85% based on the actual performance of the project.

The third layer is the smart contract execution layer. This layer employs an innovative multi-signature oracle mechanism to verify the authenticity of income. Taking a freelancer applying for a $10,000 loan as an example, the smart contract will automatically lock the borrower's expected income for the next three months on a specific platform. When the funds are received, the system will automatically deduct the repayment amount daily. In case of overdue payments, the penalty will be automatically allocated through the blockchain, which not only avoids the moral hazards in traditional collections but also simplifies the cumbersome 17 manual steps in traditional lending into 3 smart contract operations, achieving a high efficiency where risk assessment can be completed in just 2.8 seconds.

Huma Finance's innovative model not only improves the efficiency and accuracy of credit approvals but also provides new financing channels for groups that are difficult to serve by traditional financial systems. This credit method based on future income streams is expected to bring significant breakthroughs in financial inclusivity and risk management, injecting new vitality into the entire financial industry.