Huma co-founder responds to recent token price volatility: An LP wallet was hacked, and approximately 12 million airdrop tokens were sold off in a concentrated manner.

November 12 - Huma co-founder Richard Liu posted a response to recent HUMA price fluctuations, stating that the team had originally anticipated some market volatility before the November token unlock, but the actual magnitude of the fluctuations exceeded expectations. According to investigations, on October 22, an early liquidity provider's (LP) wallet was hacked, and approximately 12 million HUMA tokens obtained via airdrop from the compromised wallet were subsequently sold off. Additionally, the team has inquired with contracted market makers regarding recent market fluctuations and currently sees no reason to believe there was any misconduct. Data shows that between November 2 and 7, HUMA open interest across trading platforms rose from approximately 620 million tokens to 1.1 billion tokens; funding rates have remained negative since November 4, and perpetual contract trading volume reached 7 to 10 times that of spot trading volume, with market activity appearing to be concentrated primarily in the perpetual contract market.

Over the past 3 months, the Huma Foundation and any of its affiliated entities have not participated in HUMA spot, perpetual contract, options, or over-the-counter trading, nor do they have plans to sell tokens during the upcoming token unlock period. The Huma Foundation has been providing decentralized exchange (DEX) liquidity for HUMA since the token generation event (TGE), and the relevant allocations have remained unchanged over the past year. Furthermore, Huma has explicitly prohibited employees from actively trading HUMA.

Although the team cannot control market movements, it is currently fully committed to advancing Huma as one of the leading real-world asset (RWA) protocols in the entire crypto ecosystem. Currently, PST has a market cap of approximately $387 million and is the leading credit asset in the Solana ecosystem, but there remains significant room for growth compared to the potential market size of PayFi. The team still has more products and business to build, and plans to hold an AMA around November 19-20 to further communicate with the community.