diff --git a/0_doc/v2/.gitbook.yaml b/0_doc/v2/.gitbook.yaml index 28161b4..d2527ef 100644 --- a/0_doc/v2/.gitbook.yaml +++ b/0_doc/v2/.gitbook.yaml @@ -1,5 +1,5 @@ root: ./ structure: - readme: ./introduction/introduction.md + readme: ./introduction/core-features.md summary: ./SUMMARY.md diff --git a/0_doc/v2/SUMMARY.md b/0_doc/v2/SUMMARY.md index c9ef8a3..7d42154 100644 --- a/0_doc/v2/SUMMARY.md +++ b/0_doc/v2/SUMMARY.md @@ -1,10 +1,12 @@ # Table of Contents -* [Introduction](introduction/introduction.md) - * [Protocol Overview](introduction/protocol-overview.md) - * [Pool Types](introduction/pool-types.md) - * [Calendar](introduction/calendar.md) - * [Admin Roles](introduction/admin-roles.md) +* [About Huma Finance](introduction/about-huma-finance.md) + * [Overview of Huma finance](introduction/overview.md) + * [Introduction to PayFi](introduction/introduction-to-payfi.md) + * [Huma's Key Milestones](introduction/key-milestones.md) +* [Protocol Overview](protocol-overview/protocol-overview.md) + * [Core Protocol Features](protocol-overview/core-features.md) + * [Security & Audits](protocol-overview/security-and-audits.md) * [Lenders](lenders/lenders.md) * [Tranches](lenders/tranches.md) * [First Loss Covers](lenders/first-loss-covers.md) @@ -19,9 +21,14 @@ * [Yield, Fees, and Principal Payment](borrowers/payment.md) * [Loan Management](borrowers/loan-management.md) * [Frequently Asked Questions](borrowers/faq.md) -* [Pool Admins](pool-admins/pool-admins.md) - * [Pool Owner and Pool Operators](pool-admins/pool-owner-operators.md) - * [Evaluation Agent](pool-admins/evaluation-agent.md) +* [Pool](pools/pools.md) + * [Admins Roles](pools/admin-roles.md) + * [Pool Owner and Pool Operators](pools/pool-owner-operators.md) + * [Evaluation Agent](pools/evaluation-agent.md) * [Technical Architecture](technical-architecture/technical-architecture.md) * [Autotasks](technical-architecture/autotasks.md) +* [FAQs](faqs/faqs.md) + * [General FAQs](faqs/general.md) + * [Investor FAQs](faqs/investor.md) + * [Community FAQs](faqs/community.md) * [Multisig and Timelock Addresses](addresses/addresses.md) diff --git a/0_doc/v2/faqs/community.md b/0_doc/v2/faqs/community.md new file mode 100644 index 0000000..2073592 --- /dev/null +++ b/0_doc/v2/faqs/community.md @@ -0,0 +1,30 @@ +### What are Huma points and what can I do with them? + +Huma Points are designed to track contributions to the protocol. It is a unique reward system associated with the Huma ecosystem. They can be earned through various activities and engagements within the platform. While the specific uses of Huma Points may vary, they're designed to enhance your experience and participation in the Huma community. + +Disclaimer: Huma Points are non-transferable. Huma Points have no cash or monetary value and are not redeemable for any cryptocurrency or digital assets. We may amend or eliminate Huma Points at any time. + +### How are Discord points related to Huma points? + +Discord points are not directly related to Huma Points. Through community engagement, community members can earn Discord points to obtain roles in Discord. In the future, Huma will reward Huma Points to the community members based on their roles in Discord. + +### Does Huma plan to launch a token? + +Yes, Huma plans to fully decentralize and be governed by the Huma token holders. An independent entity, Huma Foundation, is going to lay out the details soon. + +### Will tokenomics be published? When will the details be announced? + +Yes, tokenomics will be published by Huma Foundation prior to the Token Generation Event (TGE). + +### What is Huma’s plan for airdrop? + +An airdrop is planned for community members based on their contributions to Huma Protocol’s growth. + +### What are the other ways for me to participate other than investing? + +While investing in the pools is a great way to support the protocol, there are other meaningful ways to contribute and be a part of building and growing Huma and the PayFi ecosystem, for example: +- Refer other LPs: Invite other liquidity providers (LPs) to join Huma and earn referral incentives for your efforts. +- Create and publish high-quality content: Publish informative content about Huma and its campaigns, especially the innovative Arf campaign. As this product is new and unique, with real-world impact, your insights will help others understand its value, risks, and significance. +- Engage in community activities: Participate in community events across X, Discord, and TG, where you can earn points towards achieving specific roles. +- Introduce potential Huma partners: Help us build more relationships in the ecosystem by introducing new partners to Huma. +- Build and publish new applications: Contribute by developing new applications that can enhance Huma's PayFi network and the PayFi ecosystem. diff --git a/0_doc/v2/faqs/faqs.md b/0_doc/v2/faqs/faqs.md new file mode 100644 index 0000000..692ad6d --- /dev/null +++ b/0_doc/v2/faqs/faqs.md @@ -0,0 +1,3 @@ +# FAQs + +Here you will find answers to the most frequently asked questions about Huma. diff --git a/0_doc/v2/faqs/general.md b/0_doc/v2/faqs/general.md new file mode 100644 index 0000000..467544b --- /dev/null +++ b/0_doc/v2/faqs/general.md @@ -0,0 +1,36 @@ +### What is the relationship between Huma and Arf? + +Huma merged with Arf, a leading on-demand liquidity provider for global payments, in 2024. This merger significantly enhanced Huma's PayFi network by integrating Arf's real-time liquidity capabilities. +The integration enables the platform to address liquidity challenges in cross-border payments by using blockchain to facilitate near-instant settlement, eliminating the need for pre-funding accounts. This results in quicker cross-border transactions, available in more corridors. It also frees up $4T in traditional pre-funding to be used in more productive ways. +So far, Huma's PayFi network has processed over $2.0 billion in transactions and is expected to surpass $10 billion next year. + +### How does Arf work? + +![Arf Workflows](../images/faqs/arf-workflows.png) + +Arf uses blockchain and stablecoins to help licensed financial institutions settle cross-border payments faster and cheaper, without pre-funding. Arf only serves licensed financial institutions, with most clients located in developed countries like the US, UK, and France. Institutions are selected based on various factors such as their history and financial standing. + +In Arf's process (see diagram above), the remitter deposits funds into a regulated safeguarding account. Institution A submits a settlement request, Arf sends USDC to Institution B, which disburses the funds to the recipient. Institution A is then notified, converts funds to USDC, and returns them to Arf. + +Key features: +- Only licensed financial institutions are clients. +- Funds stay in regulated safeguarding accounts. The funds in the account can only be used for the payment settlement. +- Settlements take 1-6 days. + +Arf is likely the largest use case for stablecoins outside of trading. For more info, see Circle's case study on USDC: [Circle Case Study - Arf](https://circle.com/en/case-studies/arf). + +### Which chains is Huma running on? + +Huma is currently live on Polygon, Celo, Stellar, Scroll and Solana. + +### Is Huma open-sourced? + +Yes, our EVM contracts are [open-sourced](https://github.com/00labs/huma-contracts-v2). We also plan to open-source our Solana and Stellar contracts once they are live. + +### What is Huma protocol's long-term vision? + +We're committed to transforming the global financing experience through blockchain and stablecoin technologies, particularly by streamlining cross-border payments. Currently, most cross-border transactions take T+3 or T+4 days to settle, but we believe that within the next 10 years, this will shift to T+1 or even T+0. This leap in efficiency will redefine global commerce, enabling faster, more efficient transactions that reshape the financial landscape, solving problems for businesses and people all around the world. + +### Can I use Huma LP tokens in other DeFi protocols? + +Currently, Huma LP tokens can't be used in other DeFi protocols. However, integrating them with other protocols is on our roadmap for 2025! diff --git a/0_doc/v2/faqs/investor.md b/0_doc/v2/faqs/investor.md new file mode 100644 index 0000000..a47f992 --- /dev/null +++ b/0_doc/v2/faqs/investor.md @@ -0,0 +1,139 @@ +## Why Join the Arf Pool? + +### What real-world problems does Arf solve? + +Arf addresses the inefficiencies of traditional cross-border payments, where transactions through SWIFT and intermediary banks typically take T+3 or T+4 days, if not longer. To speed up transfers, financial institutions often prefund 20% to 25% of their monthly transaction volume, leading to $4 trillion being tied up in prefunding accounts globally. This creates a significant financial burden and limits the ability of institutions to scale quickly. + +For example, if a financial institution has a successful US-to-Brazil business and wants to expand to Argentina, it must first secure enough Argentine pesos to prefund its counterparty in Argentina. This process can delay expansion and strain resources. + +Arf eliminates this burden by using blockchain and stablecoin technologies, freeing financial institutions from pre-funding requirements and unlocking more working capital for business growth. + +### What is Arf's value proposition to its customers? + +Arf's value proposition lies in transforming the operations of licensed financial institutions by eliminating the need for pre-funding, which is traditionally capital-intensive. By leveraging blockchain and stablecoin technologies, Arf enables these institutions to operate in a more capital-efficient manner, freeing up significant working capital. This allows them to scale and seize growth opportunities much faster than before. + +### Why should I participate in Arf pools? + +Participating in Arf pools offers double-digit stablecoins yield with relatively low risk. In some cases, partners also provide additional incentives to liquidity providers (LPs), For example, Scroll offers token incentives to Huma LPs. + +Additionally, by joining Arf pools, you'll earn Huma points for your early contribution to Huma's mission to transform global payment financing. + +### Where does the yield come from? How stable is the yield? + +Arf's yield is generated from real-world transactions, not from token emissions like many DeFi protocols. The yield comes from providing high-value services to licensed financial institutions in the cross-border payment sector, where the willingness to pay is significant due to the immense benefits Arf offers. As one of the few projects delivering double-digit yields from real-world use cases, and given the strong demand for Arf's services, we expect the yield to remain stable and strong. + +### How is the Arf product related to receivable financing? + +Arf's business focuses on payment settlement financing, which is a specific type of receivable financing but with a key distinction. In Arf's case, the financing is backed by 100% cash held in safeguarding accounts, whereas traditional receivable financing typically involves non-cash collateral such as goods or factories. The significant difference between cash and goods as collateral means Arf carries much lower risk. + +### How does Arf make the principals safe? + +Arf Pools are backed by bonds issued by Arf Capital Ltd. and is structured in three layers. + +- Senior : The senior tranche is generally seen as a lower-risk investment. It offers a lower yield compared to junior but carries less risk. If there's a default, senior tranche lenders receive payment first. +- Junior : The junior tranche, on the other hand, assumes a higher risk and earns a higher yield when things go smoothly. If there's a default, junior tranche lenders are paid after those in the senior tranche. Arf pools typically have a min 10% junior requirement, to protect senior investors. +- First-loss Cover : Typically 2% of the pool and is provided by Arf Capital itself to protect junior and senior investors against small defaults. + +Arf manages default risk in multiple ways : + +- Arf only serves licensed financial institutions, primarily in developed countries, which reduces exposure to risk. +- All funds financed by Arf are pre-paid by the sender and securely held in a safeguarding account. The funds are used for settlement only, ensuring funds are available to complete transactions. +- The entire settlement process takes just 1-6 days, and we expect this duration to further shorten over time, minimizing exposure. + +Per S&P's stats, bad debt in financial institutions over the last 20 years was 0.25%, with most occurring in developing countries. + +Arf has processed over $2 billion in USDC on-chain transactions to date, with zero credit defaults. + +### What are Senior and Junior tranches in the Arf liquidity pools? + +In finance, the term "tranche" refers to portions or segments of pooled financial products, such as loans, mortgages, or liquidity pools like those in Arf. Senior and Junior tranches offer different levels of risk and return, with Senior tranches being lower risk with lower and fixed yields, while Junior tranches are higher risk with higher and variable yields. + +Arf's Senior Tranche: +- Offers lower, fixed yields. +- When a loss occurs, impacted only if losses exceed both the first-loss cover and the Junior tranche. +- The Junior tranche must always be at least 10% of the pool, enforced by smart contracts. + +Arf's Junior Tranche: +- Carries higher risk but offers a higher, floating yield. +- When a loss occurs, first-loss cover absorbs initial losses; beyond this, the Junior tranche bears the losses. + +**Yield calculation**: The Junior tranche yield is floating, which means it depends on the Senior-to-Junior ratio in the pool. For example, if Arf borrows from the pool at 12%, and the Senior tranche yield is fixed at 11%: +- With a 90% Senior / 10% Junior ratio, Junior yield is 21% (12% + (12% - 11%) * (90% / 10%)). +- With an 80% Senior / 20% Junior ratio, Junior yield is 16% (12% + (12% - 11%) * (80% / 20%)). + +The yield for junior tranche in a Huma pool proceeds with an "up to" label. The yield is calculated by keeping senior-to-junior ratio at the maximum allowed value. As more deposits go to the junior tranche, it can no longer maintain the maximum senior-to-junior ratio even if the remaining room in the pool is filled with senior tranche. When this happens, the "up to" yield for a junior tranche will reduce. + +### How does First-loss Cover work? How does it protect the investors? + +First-loss Cover acts as a protective buffer by absorbing initial losses in the event of a default. + +- If a loss occurs, the First-loss Cover is used first, shielding both Junior and Senior tranche investors. +- After the First-loss Cover is exhausted, Junior tranche investors bear any remaining losses, with Senior tranche investors affected only if both the First-loss Cover and Junior tranche are depleted. + +This structure provides extra protection to Senior tranche investors, making their investment safer, while Junior tranche investors take on more risk in exchange for higher returns. + +## How Do I Participate in an Arf Pool? + +### Who can invest in Arf? + +Arf requires professional/accredited investors. To qualify, investors must confirm that they meet at least two of the following three conditions: + +1. You have carried out transactions, in significant size, on the relevant market at an average frequency of 10 per quarter over the previous four quarters. +2. Your financial instrument portfolio, defined as including cash deposits and financial instruments exceeds EUR 500,000. +3. You worked in the financial sector for at least one year in a professional position requiring knowledge of the transactions or services envisaged. + +Only after declaring their professional investor status can potential investors access more detailed information about Arf’s investment opportunities. +Additionally, potential investors must complete KYC or KYB processes. Only those residing outside restricted countries or regions are permitted to participate in the Arf pool. You can find the restricted country/region list [here](https://campaigns.app.huma.finance/#/restricted-countries?poolName=ArfCreditPool6Months&chainId=534352). +Innovative securities are subject to significant risks, including loss of principal. Any investment decision should only be made after reading the Private Placement Memorandum (the "PPM") associated with the products, as well as the associated subscription documents. The PPM and such associated documents will be made available to qualified investors only. In particular, any investment decision should be based on an assessment of the Risk Factors set forth in the PPM. + +### How to do KYC/KYB? + +Arf uses Persona to handle KYC/KYB processes. Most KYC checks are completed in 2-3 minutes without human intervention from Arf's compliance team. However, all KYB applications require manual review, which can take a few days depending on the completeness of the submitted documents. Please allow time for this turnaround. + +You don’t need to wait for a campaign to launch to begin the KYC/KYB process. You can start by clicking any existing campaign (e.g., the Scroll campaign) to complete KYC/KYB. Completing this process doesn’t commit you to an investment, but it ensures you can deposit immediately when a new pool opens, giving you maximum opportunity to participate in the campaign. + +### What is the required minimum investment amount? + +The required minimum investment amount for Arf pools is **1,000 USDC**. + +### Is there a limit on how much I can invest? + +There is no individual investment limit, but each pool has an overall cap. You can only invest if there is still room available in the pool. + +In some cases, the pool might have an investment cap, after which Huma Points won’t accumulate. Those cases will be clearly stated on the pool page. + +### Why are there lockup periods? + +Lockup periods are necessary because the real-world businesses Arf operates with—cross-border payment financial institutions—require predictability to operate smoothly. + +Although these institutions typically return funds to Arf within a few days, agreements are in place to ensure funds remain available for a certain period, preventing sudden interruptions to their operations. In return, the institutions commit to using a specific amount of funds, which helps guarantee the listed yield for investors. This structure provides stability for both the businesses and the investors, ensuring predictable returns from real-world operations. + +### When will the interest be paid? + +The interest for the campaigns is typically auto-reinvested in the pool. It will be paid out when you withdraw your funds from the pool, after your investment reaches maturity. + +On EVM, depending on the pool configuration, investors can receive interest payments on a regular basis, either monthly or quarterly. This capability is not available on Solana or Stellar at the initial launch. It will be added later. + +### What happens when a pool matures? + +Currently, all assets in Arf pools are set up as bonds. Once a bond matures, you will need to withdraw both the principal and interest. It's highly likely that Arf will have new pools for you to invest in. You can deposit into any of the open pools immediately. + +### How does the referral work? + +When you refer friends to join Huma, you can be rewarded with 10% of the points your friends earn when they deposit into pools. You will also earn 5% of the points earned by every person your friends refer to Huma. + +We are also preparing to launch products that will allow you and your friends to team up and complete quests to earn even bigger rewards. Stay tuned for the launch! + +### Why does it not work when I sign in using a Safe wallet? + +Please make sure you are using "on-chain signatures" as the signing method. You can change the settings in "Settings" -> "Safe Apps" -> "Signing Method" -> "Always use on-chain signatures", as shown in the image below: + +![Safe Wallet Settings](../images/faqs/safe-wallet.png) + +### Do I need to KYC/KYB again on Solana if I have done it on EVM? + +No, you don’t have to. First, you need to connect to the EVM wallet that you used for KYC/KYB via one of the Scroll pool pages. After that, you can return to the Solana pool and connect to your Solana wallet to bypass KYC/KYB. + +### What wallets are supported? + +We support Metamask, Phantom, Solflare, Coinbase, Ledger, Trezor, Backpack and WalletConnect for our Solana Campaign. diff --git a/0_doc/v2/images/faqs/arf-workflows.png b/0_doc/v2/images/faqs/arf-workflows.png new file mode 100644 index 0000000..2b1ba6f Binary files /dev/null and b/0_doc/v2/images/faqs/arf-workflows.png differ diff --git a/0_doc/v2/images/faqs/safe-wallet.png b/0_doc/v2/images/faqs/safe-wallet.png new file mode 100644 index 0000000..5e6e3a6 Binary files /dev/null and b/0_doc/v2/images/faqs/safe-wallet.png differ diff --git a/0_doc/v2/images/introduction/protocol-overview.png b/0_doc/v2/images/introduction/protocol-overview.png deleted file mode 100644 index 950298c..0000000 Binary files a/0_doc/v2/images/introduction/protocol-overview.png and /dev/null differ diff --git a/0_doc/v2/images/protocol-overview/protocol-architecture.png b/0_doc/v2/images/protocol-overview/protocol-architecture.png new file mode 100644 index 0000000..4ff03de Binary files /dev/null and b/0_doc/v2/images/protocol-overview/protocol-architecture.png differ diff --git a/0_doc/v2/introduction/about-huma-finance.md b/0_doc/v2/introduction/about-huma-finance.md new file mode 100644 index 0000000..4b4de1b --- /dev/null +++ b/0_doc/v2/introduction/about-huma-finance.md @@ -0,0 +1 @@ +# About Huma Finance diff --git a/0_doc/v2/introduction/calendar.md b/0_doc/v2/introduction/calendar.md deleted file mode 100644 index d37b5c4..0000000 --- a/0_doc/v2/introduction/calendar.md +++ /dev/null @@ -1,15 +0,0 @@ -## Calendar - -Businesses operate based on specific periods such as monthly, quarterly, or semi-annually. They prefer a fixed payment amount for each period, rather than one that fluctuates based on payment timing. Reducing the payment by a few cents due to earlier payment can create more complications than benefits. - -One common approach is using the 30/360 day-count convention, which deviates from the regular monthly calendar. Here's how it works: - -- Each year is divided into 12 equal months. This ensures that the yield generated each month is the same, regardless of whether the month has 31 or 28 days. -- To calculate the number of days that have passed in a month, we use the lesser of the days passed, or 30. For instance, on the 10th of a month, it's 10, but on the 31st of a month, it's 30. -- To figure out how many days remain in a month, we subtract the days passed from 30. For example, it's always 20 on the 10th of a month, whether it's February, March, or April. It drops to 0 on the 30th or 31st of the month. -- Each quarter is treated as three 30-day months. -- Each semi-annual period comprises six 30-day months. - -In V2 contracts, the 30/360 day-count convention is used for most time-related calculations, including yield, late fees, and due date calculations for borrowers, as well as yield calculations in the `FixedSeniorTranchesPolicy` for lenders. The exceptions to this rule are the "withdrawal lockout period" and "default grace period", which are both counted in actual calendar days. - -All times are in UTC. diff --git a/0_doc/v2/introduction/introduction-to-payfi.md b/0_doc/v2/introduction/introduction-to-payfi.md new file mode 100644 index 0000000..49553e6 --- /dev/null +++ b/0_doc/v2/introduction/introduction-to-payfi.md @@ -0,0 +1,15 @@ +## Introduction to PayFi + +Payment Financing is the trade of time value of money, essentially enabling businesses and individuals to either defer payments or receive future funds immediately. Money today is simply more valuable than money tomorrow. + +PayFi uses blockchains and stablecoins to drastically improve the efficiency of existing payment financing solutions and enables new experiences that are not possible in the Web2 world. + +PayFi is set to transform the existing $30 trillion payment financing industry. Today, credit card issuers finance $16 trillion in merchant payments, and trade finance enables $10 trillion in business-to-business transactions. One in every six families depends on remittances—money sent back home across borders— and even that system depends on trillions of dollars in prefunding. + +There are many new forms of payment financing innovations such as buy now pay later, growing rapidly. For credit cards, it takes days to settle with the merchants. With PayFi, it can settle multiple times a day, using any digital currency. For trade financing, PayFi can trade at a level of transparency that is impossible today and enables much better risk management. For cross-border payments, PayFi can completely eliminate pre-funding requirements, making it easier, faster, and cheaper to send money to anyone in the world. + +PayFi can also enable payment use cases that either do not exist today or are impossible to achieve today. T+0 payment settlement has been a dream for businesses to receive funds on the same day as when the funds are sent out. This is impossible for the vast majority of today’s cross-border payments. PayFi is well-positioned to transform this critical element in global trading. + +At Huma, we believe in 10 years, the vast majority of cross-border payments will advance to T+0 or T+1 from today’s T+3 or T+4, resulting in a massive transformation in global payments and commerce. Another new use case is DePIN financing. DePIN enables masses to collectively fund and own critical physical infrastructures such as AI infrastructure, energy infrastructure, network infrastructure, etc. PayFi can enable financing of promising projects, while securing payback channels to accelerate the build-out of promising DePIN initiatives. + +PayFi achieves the transformations by providing immediate liquidity, removing the delays and complexities of traditional finance systems. It gives businesses and individuals control over when they pay and get paid, promoting financial freedom. It is a force to convert blockchain’s power into massive real-world impact. diff --git a/0_doc/v2/introduction/introduction.md b/0_doc/v2/introduction/introduction.md deleted file mode 100644 index 7a84dad..0000000 --- a/0_doc/v2/introduction/introduction.md +++ /dev/null @@ -1,16 +0,0 @@ -# Introduction - -Huma V1 is an income-backed lending protocol. It allows businesses and individuals to borrow against their future income by connecting them with global investors on-chain. The protocol not only comes with common credit facilities such as revolving credit lines and receivable factoring but also includes Decentralized Signal Processors and Evaluation Agents, which are critical infrastructures to integrate with income sources for credit underwriting and ongoing risk management. This lending protocol with built-in risk management was well received when launched at ETHDenver 2023. With more than 20 projects built on Huma, it was one of the developers’ favorites in the world’s largest Ethereum developer conference. - -The Huma V2 protocol builds upon the foundation of the V1 protocol. In addition to the revolving credit line and receivable factoring, it added the support of receivable-backed credit lines. The primary goal of V2 is to support institutional investors with a rich set of features: - -- **Structured finance.** This includes tranches, first loss coverage, 30/360 calendar, and day boundary yield calculations. -- **Tokenization.** Allows real-world assets to be tokenized through SPV structures. -- **Transparency.** Clearly present the lifecycle of real-world receivables on-chain so that the investors can easily monitor the performance of these receivables. - -Given the complexities of structured finance, we took a modular approach by defining critical abstractions and allowing additional modules to be added over time to enrich the protocol to suit the needs of various use cases. Below are some critical abstractions: - -- **Tranche Policy.** It defines the P&L rules between different tranches. -- **Calendar.** TradFi often uses 30/360 calendar, but more DeFi-native parties would like to take advantage of DeFi’s second-level yield calculation. -- **Yield Manager.** It defines how yield is calculated. Some pools may charge various fees, ranging from front-loading and back-loading to subscription fees. -- **First loss cover.** First loss cover can be sourced from the borrower, insurance, or investors. A single pool might have multiple layers of first loss cover. The Huma protocol permits up to 16 layers of first loss cover, offering a flexible mechanism to configure both coverage and yield for these layers. diff --git a/0_doc/v2/introduction/key-milestones.md b/0_doc/v2/introduction/key-milestones.md new file mode 100644 index 0000000..7f25caf --- /dev/null +++ b/0_doc/v2/introduction/key-milestones.md @@ -0,0 +1,19 @@ +## Huma's Key Milestones + +### 2022 +- **Won ETHDenver '22 DeFi track:** Showcased innovative approach to DeFi solutions and gained early recognition in the space. +- **Raised $8.3M Seed funding:** Secured initial funding to fuel development and growth. + +### 2023 +- **Launched Public Beta:** Opened up our platform to the public, allowing users to utilize Huma’s DeFi solutions. +- **20+ teams building on Huma:** Gained traction within the developer community with multiple teams integrating Huma's technology. +- **Surpassed $100 million in on-chain liquidity volume:** Achieved our first significant milestone with our initial use-cases. + +### 2024 +- **Surpassed $1 billion in on-chain liquidity volume:** Achieved a significant milestone in transaction volume, demonstrating the growing adoption of Huma Protocol. +- **Merged with Arf:** Joined forces with Arf, a leading on-demand liquidity provider for cross-border payment, to enhance Huma’s capabilities and expand reach. +- **Became the first PayFi Network:** Defined the PayFi Stack as the model for the Internet of Money. +- **Surpassed $2 billion in transactions:** Continued our rapid growth, processing over $2 billion in transactions. +- **Launched on Scroll Mainnet:** Launched first-ever points campaign on Scroll, expanding presence in the Web3 ecosystem. +- **Raised $38 million in funding:** Secured significant funding from prominent investors including Distributed Global, Hashkey Capital, and Folius Ventures. +- **Launched on Solana:** Expanded Huma protocol to the Solana blockchain. diff --git a/0_doc/v2/introduction/overview.md b/0_doc/v2/introduction/overview.md new file mode 100644 index 0000000..c2d059b --- /dev/null +++ b/0_doc/v2/introduction/overview.md @@ -0,0 +1,5 @@ +## Overview of Huma Finance + +Huma Finance is the first PayFi network, built to power the financing of global payments. The network has two key building blocks. One is the Huma protocol which provides the core financing infrastructure. It is designed in a modular fashion to power both existing and new use cases. The second one is the suite of killer apps running on Huma platform. These apps can be first-party apps or third-party apps. This is similar to how Google’s Android is a powerful platform, at the same time, Google has first-party killer apps such as Search and YouTube app. There are also many third-party apps available through Google Play. + +The combination of Huma protocol and the killer apps is set to ensure businesses have the financing they need, when they need it, all while operating securely on-chain. diff --git a/0_doc/v2/introduction/pool-types.md b/0_doc/v2/introduction/pool-types.md deleted file mode 100644 index 5a5ec15..0000000 --- a/0_doc/v2/introduction/pool-types.md +++ /dev/null @@ -1,13 +0,0 @@ -## Pool Types - -### Revolving Credit Line - -This is a common credit product that approves the borrower for a certain credit limit. The borrower can borrow money and repay it, repeatedly, as long as they stay under the credit limit and make timely payments. - -### Receivable-backed Credit Line - -The borrower is granted a credit line, but they must present a receivable for each borrowing transaction. This receivable must first be approved. Once approved, an advance rate (which is less than 100%) is applied to the receivable amount to determine how much the borrower can borrow using this receivable. This additional amount is then added to the borrower's available credit. - -### Receivable Factoring Credit - -The borrower can factor a receivable by receiving an advance payment, which is a percentage of the invoice amount. diff --git a/0_doc/v2/introduction/protocol-overview.md b/0_doc/v2/introduction/protocol-overview.md deleted file mode 100644 index d7d0ef5..0000000 --- a/0_doc/v2/introduction/protocol-overview.md +++ /dev/null @@ -1,10 +0,0 @@ -## Protocol Overview - -![Huma V2 Overview](../images/introduction/protocol-overview.png) - -Huma V2 has been launched on several EVM chains (Celo and Polygon). It will expand into Stellar and Solana later this year. Figure 1 shows a high-level overview of the protocol. - -- **Huma Pools:** The protocol includes a set of smart contracts that are designed to adapt by supporting different implementations of tranche policies, fee managers, and due managers. It also allows for customization to accommodate key use cases, such as credit line (credit facility), receivable-backed credit line, and receivable factoring. -- **Evaluation Agents:** Evaluation Agents are tasked with making underwriting decisions for borrowers, recording these decisions in the pool contracts, and performing various administrative actions on approved credits. -- **Tokenization:** This module enables borrowers to display the performance of their receivables on-chain, offering greater transparency to lenders. In the case of receivable-backed credit lines and receivable factoring, Evaluation Agents will also review the tokenized receivables to make underwriting decisions. These receivables can be represented in an NFT (Non-Fungible Token) format. -- **Huma DApp/SDK:** This interface allows different pool participants to interact with the Huma protocol, such as borrowers drawing down and making payments, and lenders making deposits and withdrawals. We anticipate that most business users will utilize the SDK. diff --git a/0_doc/v2/pool-admins/pool-admins.md b/0_doc/v2/pool-admins/pool-admins.md deleted file mode 100644 index 9138585..0000000 --- a/0_doc/v2/pool-admins/pool-admins.md +++ /dev/null @@ -1,3 +0,0 @@ -# Pool Admins - -Pool Admins comprise the Pool Owner, the Pool Operators, and the Evaluation Agent. The role involves performing several administrative tasks to ensure the efficient operation of the pool. These tasks are outlined below. diff --git a/0_doc/v2/introduction/admin-roles.md b/0_doc/v2/pools/admin-roles.md similarity index 85% rename from 0_doc/v2/introduction/admin-roles.md rename to 0_doc/v2/pools/admin-roles.md index aaba96f..25b183e 100644 --- a/0_doc/v2/introduction/admin-roles.md +++ b/0_doc/v2/pools/admin-roles.md @@ -1,5 +1,4 @@ ## Admin Roles - ### Protocol-level Roles - **Protocol Owner:** The Protocol Owner (a multi-sig) is responsible for administering the entire protocol. This is the only account that can change various protocol configurations and perform administrative tasks, most notably, adding and removing pool owners and pausers, unpausing the protocol, and transferring protocol income from the pool wallet to the protocol treasury. @@ -13,7 +12,7 @@ - **Pool Operators:** Pool Operators act as operational staff supporting the Pool Owner. They review the results of KYC/KYB and accreditation, and they approve lenders. Pool Operator accounts do not need to be multi-sigs. - **Evaluation Agents:** Evaluation Agents (EA) are responsible for approving or disapproving credit requests. Each pool is managed by a single EA. While we expect most EAs to operate automatically, the protocol also allows for human supervision. EAs earn a portion of the pool's income as a reward for their services. - To ensure accountability, EAs, like Pool Owners, must invest capital in the pools they oversee. A pool can only start accepting capital from other Lenders after both the Pool Owner and the EA have made the necessary deposits. Pool Owners may occasionally change the pool's EA. The incoming EA must fulfill the deposit requirements before the change is implemented. The outgoing EA is paid all accumulated rewards immediately after the change occurs. +To ensure accountability, EAs, like Pool Owners, must invest capital in the pools they oversee. A pool can only start accepting capital from other Lenders after both the Pool Owner and the EA have made the necessary deposits. Pool Owners may occasionally change the pool's EA. The incoming EA must fulfill the deposit requirements before the change is implemented. The outgoing EA is paid all accumulated rewards immediately after the change occurs. - **Lenders:** Lenders, also known as Liquidity Providers, contribute capital to the pool and in return, earn a share of the pool's income proportional to their contribution. - **Borrowers:** Borrowers initiate credit requests with the pools. If a credit request is approved by the designated EA, they can draw down against it. They are responsible for making interest payments and, if required by the pool, a minimal principal payment per pay period. diff --git a/0_doc/v2/pool-admins/evaluation-agent.md b/0_doc/v2/pools/evaluation-agent.md similarity index 100% rename from 0_doc/v2/pool-admins/evaluation-agent.md rename to 0_doc/v2/pools/evaluation-agent.md diff --git a/0_doc/v2/pool-admins/pool-owner-operators.md b/0_doc/v2/pools/pool-owner-operators.md similarity index 100% rename from 0_doc/v2/pool-admins/pool-owner-operators.md rename to 0_doc/v2/pools/pool-owner-operators.md diff --git a/0_doc/v2/pools/pools.md b/0_doc/v2/pools/pools.md new file mode 100644 index 0000000..e8f9c38 --- /dev/null +++ b/0_doc/v2/pools/pools.md @@ -0,0 +1,12 @@ +# Pools + +## Active Pools + +Currently, Huma offers a diverse range of pools, including: +- Arf: Cross-border payment settlement financing. +- Raincard: Secured business credit card platform. +- BSOS: Trade finance platform. +- Roam: DePIN financing. +- Jia: SMB financing + +We focus on risk management to ensure the stability and security of our pools. Instead of expanding the number of pools, we focus on launching pools with relatively low risk. diff --git a/0_doc/v2/protocol-overview/core-features.md b/0_doc/v2/protocol-overview/core-features.md new file mode 100644 index 0000000..b1f8489 --- /dev/null +++ b/0_doc/v2/protocol-overview/core-features.md @@ -0,0 +1,9 @@ +## Core Protocol Features + +![Protocol Architecture](../images/protocol-overview/protocol-architecture.png) + +Similar to other RWA/PayFi protocols, Huma allows LPs to deposit and withdraw funds, while borrowers can access credit and repay loans. However, Huma stands out with several unique features that set it apart, making it expertly tailored for real-world financial use cases: + +- **Tailored for payment financing:** Huma is optimized for on-chain credit facilities, particularly for payment financing use cases. It uniquely supports credit lines and receivable-backed credit lines, addressing specific needs in this space. +- **Modular structured finance:** Unlike other protocols, Huma has taken a modular approach to structured finance. This allows flexibility in adapting to various financial structures—different calendars, fee structures, and tranche structures—making it highly customizable for diverse use cases. +- **Advanced risk management:** Risk management is the core foundation for any PayFi or RWA protocol and is central to Huma. Huma has built-in infrastructure for dynamic risk assessment, leveraging DSP and external adapters (EA) that pave the way for AI-driven financing and underwriting. diff --git a/0_doc/v2/protocol-overview/protocol-overview.md b/0_doc/v2/protocol-overview/protocol-overview.md new file mode 100644 index 0000000..f45d310 --- /dev/null +++ b/0_doc/v2/protocol-overview/protocol-overview.md @@ -0,0 +1 @@ +## Protocol Overview diff --git a/0_doc/v2/protocol-overview/security-and-audits.md b/0_doc/v2/protocol-overview/security-and-audits.md new file mode 100644 index 0000000..d3ab8b1 --- /dev/null +++ b/0_doc/v2/protocol-overview/security-and-audits.md @@ -0,0 +1,15 @@ +## Security & Audits + +Security is our top priority, and we take extensive measures to ensure the safety and reliability of our protocol. Here’s how we safeguard the platform: + +### Design Principles +- **Minimize admin power:** User funds remain protected even in the event of a compromised admin multisig, preventing rug pulls and unauthorized access. +- **Minimize external dependencies:** We avoid reliance on external Oracles or DeFi integrations, reducing potential points of failure. +- **Testing coverage:** We require 100% branch-level testing coverage. + +### Audits +- EVM: Audited by Spearbit, live on multiple EVM chains for over 6 months. [V2.0.0]() [V2.1.0]() +- Stellar: Audited by Certora. [V2.0.0]() [V2.1.0]() +- Solana: Audited by Halborn. [V2.0.0]() [V2.1.0]() + +- Additionally, our bug bounty program is live with Cantina (Spearbit), offering continuous security monitoring. [link]