This week, we’re giving you the lowdown on OMG.
OMG is an ERC-20 token that maintains and operates the OMG Network, a blockchain network facilitating the easy transfer of both crypto and traditional assets between different platforms. Here’s what you need to know about it.
OMG is the native token of the OMG Network, a value transfer network that aims to make transactions faster, cheaper and more secure. It achieves this by scaling the Ethereum blockchain with the More Viable Plasma protocol, which bundles up transactions in blocks and sends them to Ethereum for confirmation.
It also focuses on simplifying the transfer of money between different platforms. With many digital payments taking place on a single platform (e.g. Venmo and Alipay), moving funds from one to another can be a difficult process.
To tackle this, the network integrates several electronic wallets by using a proof-of-stake (PoS) protocol, which works to settle the movement between multiple e-wallets. As more e-wallet providers are added to the network and more issued assets can be exchanged on the blockchain, this will help provide banking services to those who may not be able to access traditional systems.
The OMG Network (formerly known as OmiseGo) was developed by Omise Go Pte Ltd, a subsidiary of Thailand-based financial services company Omise.
The company first began exploring blockchain technology in 2015 when it launched the Omise Blockchain Lab for research and testing. Two years later, it launched OmiseGo and managed to raise $25 million by selling 65% of its OMG token supply. 20% of this supply was then reserved for future costs while 9.9% was given to the founding team. An extra 5% was also distributed to anyone who had an Ethereum wallet with more than 0.1 ETH tokens.
OMG can be used for paying for services on the network and for staking. Users can stake their tokens by locking them into a smart contract for a certain amount of time, getting rewarded by the network for the use of their assets in return.
The OMG token is also available in the Wirex app, along with a selection of other top cryptocurrencies. You can buy and exchange it at exclusive OTC rates or spend it in real life with your multicurrency Wirex card. Get your hands on some OMG today and give it a go!
The OMG network was able to attract a lot of investor interest during its launch, primarily because of Omise’s partnership with big brands like McDonald’s and Alipay.