The blockchain industry has revolutionary ideas. Finance has been affected immensely. A new player emerged – OmiseGo. Do you know what is OmiseGo?
It is a blockchain based project that seeks to increase accessibility, security, and scalability of financial transaction. The project promises network connection to more users and unlimited transaction speed potential to billions of transactions per second.
Besides, it also seeks to guarantee the security of your financial transactions. The security comes with the backing Ethereum use. The benefits of Ethereum’s smart contract are also inclusive.
Learn more about this self-sovereign financial service. And you can probably look at what is OmiseGo as an investment.
What is OmiseGo?
Omise is a payments company. It operates in Indonesia, Singapore, Thailand, and Japan. The company has great expertise and skill in the payment markets. Besides, OmiseGo boasts in the commercialization and implementation of several financial products.
OmiseGo comes in to offer a real-time payment solution. The founder and CEO Jun Hasegawa saw an opportunity in 2013. He then started OmiseGo.
OmiseGo is a public blockchain connected to the Ethereum main network. The OmiseGo blockchain network aims to conduct financial transactions securely. The financial transactions include; payroll deposits, remittances, supply-chain finance, Payments, B2B Commerce, loyalty programs, and plenty more. You can do all these in an affordable manner and fully decentralized.
Decentralization anticipates and eliminates confusion. Confusion brought about by the breakdown in the coordination of the financial processors. The processors include gateways and payment providers. All these third parties either cost the user or slow the transaction rate.
OmiseGo Blockchain explained
The blockchain consists of;
- Liquidity provider system
- Asset-backed blockchain gateway
- Decentralized exchange
- Clearinghouse messaging system
The OmiseGo blockchain uses the OMG tokens. The blockchain uses the proof-of-stake mechanism. The mechanism ensures the enforceability of the idea to customers. The technology is high performing. It allows for exchanges ranging from fiat-backed issuers to fully decentralized blockchain tokens. Unlike many decentralization technologies, OmiseGo depends upon two classes of a blockchain.
Besides, the blockchain or the many blockchains do not need a trusted gateway. The key components of OmiseGo are the smart contracts and protocol token features.
OmiseGo Smart Contracts
The OmiseGo platform uses Ethereum. Ethereum is widely known for its smart contracts concept. The smart contract concepts promote the exchange of assets transparently. The smart contracts allow the customers to conduct the transactions more freely.
One such smart contract exploited by the OmiseGo is Plasma. You will later learn about it in this article.
OmiseGo Customer Targets
OmiseGo fundamentally targets two customer levels; individuals and Electronic Payment Providers (EPPs). For individuals, OmiseGo targets to help them perform all the bank-based transactions. So, you will send and receive money at reduced transaction costs. The technology will remove the role of banks and trusted third party institutions. Thus, this will mean you will enjoy more autonomy and financial control over your money.
The next target customer, the EPPs, OmiseGo will make EPPs affordable. The EPPs will be able to propose to their customers on better ways to send money from network to network.
OmiseGo Wallet: The White Label Wallet SDK
A wallet is an application that helps the customer send, receive and store value. When opened using a computer, the wallet makes that customer’s computer a node. So, what makes the white label wallet special?
An SDK in full is Software Development Kit. It is a collection of predefined functions. It allows developers to develop efficiently and safely. Thus, the white label wallet SDK will enable companies to create wallets for their users. The product or wallet created by the developer will be their own. The SDK will only see to it that the whole development process is accelerated. The wallet will be free to use for any developer.
Recently, Vitalik Buterin tweeted on OMG tokens being his favorite token. Vitalik Buterin is the founder of Ethereum. That makes him a very influential man in the streets of the crypto verse. Buterin made the tweet in December 2017. After the tweet, the OMG price rose from a mere $0.40 to a massive $19. If you were an early investor, then you must have reaped big.
But what made Vitalik opine in the way he did?
So, let’s dissect into what makes OMG Token Vitalik Buterin’s favorite token.
- OmiseGo token is not a medium of exchange token
- OmiseGo token has a clear valuation model
- Has expected discounts regarding tax fees
- Is more legally defensible as it requires active returns from a running node rather than passive returns.
The above reasons are a pointer on how the token coin is valuable.
Uses of OmiseGo Tokens
In the platform, the tokens will be used to buy the customer the rights to confirm blocks. More like the proof-of-stake. Every transaction carried out on the OmiseGo platform will generate a small fee. Hence, the more the transactions you make, the more tokens you have. Keeping the tokens in the wallet means you are staking the tokens.
A higher staker will receive more fees than a low staker. Thus, the tokens will play a vital role in the proof-of-stake in OmiseGo.
The initial coin offering (ICO) is crucial in the start of any crypto project. It basically is the trust investors are putting in the currency.
OmiseGo parent company is Omise. It opened the ICO in June 2017, and it ran to July 2017. Omise, run the one-month open ICO in the Ethereum blockchain platform. And it raised up top $28 million.
Omise distributed the ICO funds as follows;
- 20% – retained by Omise
- 5% – Omise Airdrops to Ethereum Holders
- 10% -Development team
- 65% – Distributed to the public
A team of developers says much about an idea or project. The energy and efficiency of the team will translate into an outstanding masterpiece. A visionary team can only mean a visionary idea. The developing team at OmiseGo consists of;
- Jun Hasegawa- Founder and CEO
- Donnie Harinsut- Chief Operating Officer and Co-founder
- Wendell Davis- Product design
- Vansa Chatikavanij- Managing Director
- Thomas Greco- Special advisor
Besides, a great team requires a great deal of advisors. The OmiseGo team has advisors in the who is who in the blockchain world. The list includes co-founders of Ethereum, Vitalik Buterin and Gavin Wood and other influential figures in the blockchain world. Among them is Prof. David Chuen, an academician in finance.
For that reason, OmiseGo is a visionary idea as the management team is always on the ways to make it better. The team aims to make OmiseGo achieve decentralization of financial transactions.
You now know what is OmiseGo. Do you know how to invest in it? Let us now switch gears to examine why it is a good idea to invest in OmiseGo.
OmiseGo Ethereum Connection
Second to Bitcoin in the crypto verse is Ethereum. Projections in the crypto world show that Ethereum is likely to overrun Bitcoin. Thus, the partnership between OMG and ETH is beneficial.
There needs to be a full node validation within Ethereum for security in transactions. So, a customer creates a smart contract with the Ethereum Blockchain. The contract locks up funds using the OMG chain condition. Hence, the OMG executes orders and locks the customer’s funds within the OMG.
Riding on the shoulders of giants in the field only means growth. The technology keeps growing by learning on the developments within the other blockchains. The management understands so clearly how far this strategic partnership goes.
Economic Implications of the OMG tokens
- Validators earn fees from validating OMG activity
- Bonding for others will have a cost
- Payments and interchange fees incentivize honest activity activities
- Dishonest activity is punished by burning the tokens.
OmiseGo and Github Connection
OmiseGo Mobile payments
Today’s world is a mobile world. Financial analysts see mobile payments as the future of the finances. You cannot tread the finance industry without meeting fiancé related apps. There is a lot of convenience to you in using the apps. Omise, OMG parent company has mobile wallets with ApplePay, Android Pay, and SamsungPay. The convenience must be spread to the crypto streets.
OmiseGo and McDonald’s
We all know McDonald’s. Do we not? They are the global leader in the food industry. In Thailand, McDonald Thailand and Omise entered into a partnership. The partnership ensures that McDonalds Thailand uses Omise only for online payments. Questions still lie with the instore orders and the percentages to take home. But, one thing is clear there is faith in this partnership.
Thailand Government and OmiseGo
Blockchain technology is not that popular within governments. But, some governments have adopted blockchain technology. Some of these countries that are adapting blockchain include Japan and Thailand. The two countries seek to create a cashless society. In this bid, Thailand chose OMG.
Through Thailand Finance ministry, they launched an e-payment system. Besides, they rolled out the Omise facepay system. These means a customer uses facial recognition to make payments. The Thailand government and Central bank of Thailand endorse these payments.
The Omise team, Vitalik Buterin, and Central Bank of Thailand attended a joint meeting. In the meeting, they expressed interest and optimism in the partnership.
Plasma and OmiseGo
Remember as promised, about you learning what plasma is. Well, here you are. Plasma is a scaling solution in the blockchain industry. Joseph Poon and Vitalik Buterin developed the Plasma solution. This solution solves issues arising from the number of transactions performed on the platform.
Basically, Plasma is a smart contract within Ethereum. The smart contract allows another developer to have a high performant platform. This means the platform using Plasma will perform many transactions, faster, and safely.
Omise anticipated the scalability issues. In doing so, the company contracted Plasma to help them deal with those questions. Expectedly, the interest and customer numbers are increasing. And they will continue to grow. Thus, with the increased workload, Omise will still be able to serve its clients diligently.
It would be a great injustice to talk about OMG without the OMG airdrop tokens. There was a 5% token stake out for grab in the airdrop absolutely free. The Ethereum wallet holders benefitted from this Airdrop.
But, what is an airdrop?
The airdrop concept can be very confusing. An airdrop seeks to reward ETH wallet holders with ERC-20. To be eligible for an airdrop, an ETH client has to have a minimum balance of 0.1 Ether in their wallet. This ensures only active ETH clients get the benefits of the airdrop.
OMG used the concept to reward persons with enough Ether. All the 5%, tokens for the Airdrops were given out and are in circulation.
The concept is now clear. However, the airdrop is a target of scams and frauds. Thus, when dealing with them, one has to be sure of the credibility. For now, there is no OMG Airdrop.
What is OmiseGo: The Roadmap
The OMG ICO happened last year. To date, there are tokens in circulations. 2018 will see to it that Omise expands OMG and deal with limitations like;
- Ensuring accurate trading information
- Dealing with blockchains that discourage reorganization
OmiseGo news: Mainnet launch?
Any Block chain platform has a mainnet and a test-net. The mainnet does the active transactions and the testnet helps developers do the testing. Projects that are working have a mainnet. However, OmiseGo works on top if Ethereum Blockchain so there is no need for the mainnet. As the mainnet only serves to show that;
- The ICO is no scam
- That the technology works hence improving investor confidence
- That development is ongoing
So, should we expect an OmiseGo Mainnet launch? Truth is we cannot call that conclusively. We have to wait for Omise to get us that information.
What is OmiseGo`s Competition?
Like I mentioned earlier the blockchain has several new ideas each. As the finance sector is faced with new ideas, OmiseGo is also faced with new competing ideas.
Here is the competition to OmiseGo though with less of publicity:
Tenx/Pay a crypto project that aims to offer multiple access to virtual currencies across different blockchains in one card. It also wants users to enjoy real-time transparent rates with no conversion charges. And it makes users be in control of their funds, as they can withdraw from ATMs, lock, unlock the card and send receive funds in one app.
It is listed on exchanges with a market price of about $0.6 and a cap of about $70 million.
Request Network is a decentralized platform built on Ethereum. It seeks to be a payment service. The network incorporates one unique idea that we probably have not heard in almost all projects. It integrates a trade law system and aims to work in most legislation if not all.
It is being touted as the future of commerce. And in so doing they want to bring the top 4 accounting and advisory firms to use cryptocurrencies. Also, the network will allow any user and seller to use any currency.
The token value is about $0.07 in exchanges with a market cap of about $54 million.
There are other competitors like Bitpesa and MicroMoney. MicroMoney is of interest having claimed to have given blockchain based loans across Asia. Its token is valued at about $0.104 with a market cap of $1.15 million.
Now the competition exists in disguise to make the team behind OmiseGo be industrious. So, customers and users can wait and see if it will meet their expectations.
The OMG is indeed a revolutionary financial technology. The base on blockchain makes it decentralized and safer. The OmiseGo team has come a long way from the White paper to having the technology out there.
It’s clear that the team is visionary. Anticipating the issues that may arise and always finding solutions. The scalability issue may never occur as the partnership with Plasma.
The endorsement and advice from Ethereum founders, Vitalik and Wood, is priceless. An interesting pointer to how much value lies with OMG.
The adoption by Thailand and McDonald`s also shows the future is luminous for OMG. Besides the business world is putting much faith in the technology.
OMG tokens have enjoyed relative stability. The tokens saw a meteorological rise after Buterin’s tweet. Since then the tokens have been relatively stable. But currently, the pricing is of about $7. 5 with a market cap of about $790 million.
So, do your research. Find out what much you stand to gain from investing in the OMG token.
*Disclaimer: The article should not be taken as, and is not intended to provide any investment advice. Claims made in this article do not constitute investment advice and should not be taken as such. Do your own research!