OMG Network OMG
About
What Is OMG Network (OMG)?
OMG Network, formerly known as OmiseGo, is a non-custodial, layer-2 scaling solution built for the Ethereum blockchain. As an Ethereum scaling solution, OMG Network is designed to allow users to transfer ETH and ERC20 tokens significantly faster and cheaper than when transacting directly on the Ethereum network.
The network is based on a novel scaling solution called MoreViable Plasma, which uses a sidechain architecture to group several transactions off-chain into a batch, which can then be verified as a single transaction on the Ethereum root chain. According to OMG Network, this technology has the potential to scale Ethereum to thousands of transactions per second (TPS) — instead of the 10 to 14 tps Ethereum 1.0 is currently capable of.
The network is powered by the OMG utility token, which can be used as one of the payment methods for fees on the OMG Network, and will eventually be stakable — helping to secure the network in return for rewards.
Who Are the Founders of OMG Network?
The OMG Network currently consists of a team of more than 50 employees scattered across the world. It was founded by Thai-born Vansa Chatikavanij and operates as a subsidiary of SYNQA — a Thailand-based fintech firm that was formerly known as Omise Holdings.
As the projector founder, Vansa Chatikavanij received a master’s degree in earth and environmental sciences at New York's Columbia University. Following this, Chatikavanij held several consulting roles at prominent financial institutions including the International Finance Corporation (IFC) and World Bank Group, before founding OMG Network (then OmiseGo) in 2017.
Chatikavanij held the role of managing director at the company until 2019, before transitioning to the role of CEO, which she still holds to this day. Beyond this, Stephen McNamara — former head of blockchain R&D strategy at Huawei Technologies — is OMG Network's COO, whereas Kasima Tharnpipitchai, a heavily experienced engineer and consultant, is its CTO.
What Makes OMG Network Unique?
OMG Network believes that Ethereum’s significant speed and cost barriers will need to be overcome before mainstream businesses will consider building their products and applications on the network.
As such, the OMG Network project is built to help make Ethereum more attractive to businesses and projects that want to scale while simultaneously cutting down on their carbon footprint. It achieves this with its plasma-based sidechain solution, which can help reduce electricity usage by up to 99% compared to Ethereum and cut fees by around two thirds, while ensuring assets remain secured by the underlying Ethereum network.
The platform itself is supported by $25 million in funding obtained during its 2017 initial coin offering (ICO). Moreover, OMG Network parent firm SYNQA recently raised a further $80 million in Series C funding — and was supported by several major investment firms, including Toyota Financial Services Corporation and Sumitomo Mitsui Banking Corporation.
How Many OMG Network (OMG) Coins Are There in Circulation?
Like most cryptocurrencies, OMG Network tokens have a fixed maximum supply. This is set at exactly 140,245,398 OMG and will never increase beyond this point. Unlike many other cryptocurrencies, this total supply has already been fully minted, with the majority already in active circulation.
Of the total supply, 65.1% of tokens were distributed to investors and 5% were distributed in an airdrop, whereas the last 29.9% is held by the project and team. Of this 29.9%, 20% is locked in the OMG Network reserve smart contract for funding future developments and network validation, and the remaining 9.9% is reserved for the founding team.
Both the OMG reserve and team allocation were locked for one year, but this has since elapsed.
How Is OMG Network Secured?
The OMG Network mainnet will eventually move to a proof-of-stake (POS) consensus system, which will allow users to stake their tokens to help secure the network and earn rewards.
Until then, OMG Network child chains are secured by a proof-of-authority (PoA) consensus mechanism, which is basically a simplified form of proof-of-stake which is controlled by a single block producer (OMG Network itself) for now — which essentially stakes its reputation on staying honest.
OMG Network plans to transition to proof-of-stake as soon as it’s ready, following which OMG holders will be able to become stakeholders in the success and security of the network, by delegating their stake to validators.
Where Can You Buy OMG Network (OMG) Tokens?
OMG tokens are highly liquid and can be purchased or traded on well over 200 different exchange platforms, including several top 10 exchanges — such as Coinbase Pro and Binance. Some of the most popular trading pairs include OMG/USDT, OMG/BTC and OMG/ETH.
OMG can also be traded against several fiat currencies, including U.S. dollars (USD), euros (EUR) and British pound sterling (GBP). To find out more about purchasing cryptocurrencies with fiat, read our simple guide — here.
AI Analysis
What is the OMG Network (OMG) cryptocurrency good for? What are its main use cases?
The OMG Network (formerly OmiseGO) is a layer-2 scaling solution for Ethereum designed to enhance the speed and reduce the cost of transactions on the Ethereum blockchain. Here are some of its primary use cases and benefits:
Transaction Scalability: The OMG Network enables faster and cheaper transactions by processing them off the Ethereum main chain. This helps alleviate congestion and reduces high gas fees typically associated with Ethereum.
Decentralized Finance (DeFi): OMG Network supports various DeFi applications by allowing users to perform transactions quickly and cost-effectively. This includes trading, lending, and borrowing activities without the limitations posed by the main Ethereum network.
Cross-Border Payments: The platform aims to facilitate seamless, borderless payments with lower transaction costs, which can be particularly beneficial for remittances and international transactions.
Interoperability: OMG Network acts as a bridge between different digital assets and payment methods, enabling users to transact across various blockchain networks and fiat systems. This promotes the integration of various financial services.
Improved User Experience: By allowing users to conduct transactions more quickly and at lower costs, the OMG Network can enhance the overall user experience for Ethereum-based applications, making them more accessible to a wider audience.
Token Functionality: The native token, OMG, is used for various purposes within the network, including paying transaction fees and participating in the network’s governance processes.
Liquidity Solutions: The OMG Network provides liquidity solutions for DeFi applications, allowing users and developers to tap into a more efficient transaction layer for their decentralized applications (dApps).
Overall, the OMG Network aims to improve the usability and accessibility of cryptocurrencies and decentralized applications by addressing the scalability challenges that have historically affected the Ethereum network.
What blockchain does OMG Network use? Is it its own blockchain or built on top of another?
The OMG Network (formerly known as OmiseGO) operates on its own blockchain. It is built as a layer-2 scaling solution for the Ethereum blockchain, utilizing a technology called Plasma. This allows for faster and cheaper transactions while still benefiting from the security of the Ethereum mainnet. So while it is not an independent blockchain in the traditional sense, it leverages Ethereum as its foundational layer while providing its unique functionalities.
Is OMG Network programmable? Does it support smart contracts or decentralized applications?
Yes, the OMG Network is programmable and supports smart contracts and decentralized applications (dApps). The OMG Network, which is built on Ethereum, utilizes a technology called More Viable Plasma (a layer-2 scaling solution) to enable faster and cheaper transactions while maintaining security.
As it is based on Ethereum, developers can leverage the Ethereum Virtual Machine (EVM) capabilities of the OMG Network, allowing them to deploy smart contracts and build decentralized applications in a familiar environment. This enables a wide range of functionalities and use cases, making it suitable for projects seeking to benefit from enhanced scalability without sacrificing the ability to create complex programmable applications.
However, it's always a good idea to refer to the official documentation or resources for the latest updates and features, as blockchain technology is continuously evolving.
How fast are OMG Network transactions? What is the typical confirmation time and throughput (transactions per second)?
As of my last update in October 2023, the OMG Network (formerly known as OmiseGO) is known for its fast transaction speeds and scalability features. The network utilizes a technology called Plasma, which allows for off-chain transactions that can significantly enhance performance.
Transaction Speed: Transactions on the OMG Network can be confirmed in seconds, typically within 2 seconds for most transactions.
Throughput: The OMG Network is designed to handle thousands of transactions per second (TPS). While the exact TPS can vary based on network activity and specific implementations, reports have indicated that it can handle up to 4,000 TPS under optimal conditions.
Please note that these figures might have evolved, so for the most accurate and up-to-date information, you should check the latest resources or official announcements from the OMG Network.
How much data can I store on the OMG Network blockchain? Does it support on-chain data storage?
The OMG Network, which is a layer-2 scaling solution for Ethereum, focuses primarily on improving the scalability and reducing transaction costs for Ethereum-based transactions. While it does support various types of transactions and could theoretically interact with on-chain data, the network is not primarily designed for large-scale on-chain data storage.
On-blockchain data storage is limited by factors such as transaction fees, block size, and the nature of the data itself. Most blockchains, including those operating on layer-2 solutions like OMG Network, are optimized for transactions rather than extensive data storage.
For substantial data storage needs, traditional decentralized storage solutions like IPFS (InterPlanetary File System) or Arweave are typically recommended. These solutions allow you to store data off-chain while ensuring the integrity and availability of that data through decentralized means.
In summary, while you can store some data on the OMG Network, it is not well-suited for large-scale on-chain data storage, and utilizing alternative solutions may be more appropriate for significant data needs.
Contact Us About OMG Network
Are you a representative of the OMG Network project? Send us a message.