Humanity Protocol Surges 403% After Turbulent Launch and Controversial Airdrop

Humanity Protocol’s native token, $H, is making headlines again, this time for a dramatic rebound. After crashing by over 80% within days of its highly anticipated launch, $H has surged 403% over the past week, regaining investor attention and pushing its market cap back above $180 million.

A Hyped Launch Meets Turbulence

Launched on June 25, 2025, Humanity Protocol promised to revolutionize decentralized identity with its palm scan-based Proof of Humanity (PoH) consensus model, built using Polygon CDK on an Ethereum Layer 2. Backed by top-tier investors including Pantera Capital, Shima Capital, and Jump Crypto, the protocol had already onboarded nearly 7 million Human IDs in its testnet phase, creating major hype ahead of its token generation event (TGE).

On day one, $H was listed on major exchanges like Binance, KuCoin, Bybit, OKX, and Upbit. Trading volumes exceeded $220 million, with early optimism driving the token up by 125% in the first 24 hours. However, the hype was short-lived.

Backlash and Crash

Despite the momentum, user backlash quickly followed. The project’s airdrop drew criticism, with many users accusing the team of failing to properly distinguish real users from bots. Roughly 80% of active users were deemed ineligible, sparking accusations of poor execution and favoritism. Founder Terrance Kwok later admitted that up to 88% of the network’s 9 million Human IDs may have been bots, further damaging credibility.

Amid profit-taking and declining trust, $H crashed by up to 87% within 48 hours, with its fully diluted valuation (FDV) plummeting from $1.1 billion to $247 million. The token’s 24-hour trading volume also dropped nearly 48%, reflecting waning interest.