Huma Co-Founder Says Compromised Wallet Sold 12 Million HUMA Before Unlock

Huma Finance co-founder Richard Liu said a compromised early liquidity-provider wallet sold about 12 million HUMA, a token sale he linked to volatile trading before a Nov. 26 unlock.

Liu said an investigation traced the wallet breach to Oct. 22 and identified the tokens as HUMA distributed through an airdrop. The team was surprised by the price decline ahead of the unlock, he said.

Trading conditions were also unusually active from Nov. 2 to Nov. 7. Market-wide HUMA futures open interest rose from about 620 million tokens to 1.1 billion, while perpetual futures volume ran seven to 10 times spot volume. Funding rates remained negative during the period, Liu said.

Liu said Huma Foundation and affiliated entities had made no HUMA trades in the previous three months and had no plan to sell during the upcoming unlock. The team had not found evidence that its market-making partners acted improperly, he said.

The wallet was compromised five weeks before the Nov. 26 unlock.