OmiseGo and its OMG token: A starter’s guide
Omisego is a platform that allows its user’s free access to the Omisego Network and Digital Wallet Framework. It is a platform that aims to unbank the banked from financial institutions and their bank account with the Ethereum network.
What is Omisego?
Omisego is the first plasma.io project but it’s not platform technology with Ether being the central asset of Omisego. Omisego was born out of Omise in 2018 as a way to leverage blockchain technology to make a new system to revolutionize the way people manage their finances. More specific, Omisego is a decentralized bank, cryptocurrency exchange, and asset-backed blockchain technology.
Omisego coin price
At the time of writing, Omisego was priced at $17.40 USD, 0.00187254 BTC, and 0.02560850 ETH.
OmiseGo Initial Coin Offering (ICO)
The OmiseGo initial coin offering ended before its OMG token even started selling. Launched by Omise – a well-known Asia based payments provider – the ICO actually started with a token pre-sale on Bitcoin Suisse, which received unprecedented support.
The pre-sale of OMG initially opened on June 7, 2017, with some investors complaining that it ended quickly. While the ICO was originally meant to start on June 27, since the cap was reached, the ICO did not happen.
Omisego: How it works and its key features
There are actually two types of problems that OmiseGo wants to solve:
First, Omisego is determined to offer the unbanked, with a solution that will enable network users to send, own and receive money on a dematerialized form a reasonable cost, regardless of the fiat money or assets, one wishes to send.
Secondly, is the problem related to coordination and is commonly referred to as “a fundamental coordination problem that usually occurs between payment processors, financial institutions, and gateways.”
Experts say that this coordination problem is a result of “closed networks” in the economic and financial world. Where an individual has to go through lots of cross-network transactions difficulties, and most vitally they have to part with huge amounts of money in form of financial transactions fees when sending money through cross-network.
The universal and decentralized solution that Omisego offers makes it very easy and less costly when sending money between two different networks, agnostically among currencies types and assets, and countries as well as jurisdictions.
OMG Token: Use and utilities
There are basically two types of customers that are primarily targeted by Omisego:
Individual users: Individuals based in south-east Asia. Omisego is offering the facility of a banking account which will allow them to easily, quickly, safely and at a reasonable cost enjoy receiving and sending money on an open network, without necessarily waiting for approval from banks.
Wallet providers, merchants, and electronic payment providers (EPPs): Omisego allows these vendors to offer their various solutions to enable their customers to make smooth financial transactions and carry out exchanges from one network to a different network.
One thing to note is that Omisego network allows interoperability between various closed payment systems. Examples include; Alipay, Paypal, WeChat, Visa, and Apple Pay.
For example, if someone is using Alipay and their business partner is only accepting payments through Paypal, there won’t be an issue because both parties can still make the transaction work.
Omisego: Platform and technology
What makes Omisego unique is its currency agnostic and decentralized approach.
There is no doubt that exchanges today have become centralized operations. This means that the databases, which usually contain details of all transactions carried out on the exchange, get collected on a server or sometimes a group of servers owned by the exchange.
Apart from Omisego exposing its users to the very same exchange functionality, it ensures that all its transactions are decentralized and stored on the blockchain. This is important because it stops hackers from controlling and stealing users existing funds and also protects vital data.
Most of the exchanges allow users to make an exchange of their money from official sanction to cryptocurrency and vice-versa. Because of this limitation, the user incurs a lot of charges from their account.
To help you understand, let’s use an example; if you wanted to convert bitcoin to ether, then you’ll be required to source for an exchange that actually allows the trading of both bitcoin and ethereum. After finding a suitable exchange, you will have to send bitcoin from your wallet to the said exchange; which will also convert your bitcoin to a standard fiat currency, like USD. Lastly, you will be required to do the conversion of the USD back to Ether.
As you go through all these processes, a cryptocurrency exchange will charge transaction fees.
Omisego actually calls itself currency agnostic because it helps you get rid of such high charges and instead offers you a roundabout process.
Essentially, when you are using Omisego to convert Ether to USD, or Ether to bitcoin, the process and fees don’t change.
Omisego: Team and founders
Omisego was started in 2013 and arose from Omise. The cryptocurrency was featured by Forbes Thailand in 2016 and in that same year was named Digital Startup of the Year by Thailand’s Prime Minister.
The CEO is Jun Hasegawa. Its COO is Donnie Harinsut. The team also has notable members in the advisor’s team including Vitalik Buterin, founder of Ethereum, and co-author of Plasma, and Gavin Wood, co-founder of Ethereum to name a few.
Omisego is an ERC-20 token which means it can be stored in any Ethereum based wallet. The most prominent digital wallet being MyEtherWallet. Recently, however, Omisego released its own walled called ewallet. The ewallet will allow for dual-currency transactions. So if someone sends money in one currency, the receiver can get it in another.
— Jeremy Lam (@jeremy_omisego) February 28, 2018
There’s also a couple other features of the Omisego network:
OmiseGO’s Decentralized Exchange (DEX)
This in-built Decentralized Exchange actually allows users to trade their values for other values in real-time.
White label wallet SDK
SDK is actually a collection of various pre-defined programming functions, which enables developers to create applications quickly and efficiently.
Omisego: Can you mine Omisego?
It’s impossible to mine Omisego because it is an ERC20 token on the Ethereum network.
Here’s what the future of Omisego looks like:
First, Ayudhya Bank has already invested $30 million in OmiseGo. The Thai bank is among the few banks that have received government permission to play a part in the PromptPay money transfer system.
Second, apart from being rooted in Thailand, Omisego also has a prominence in Japan. With Mitsubishi UFJ, the largest Japanese financial group, being owners of Ayudhya Bank. Additionally, SMBC, Japan’s second-largest bank, was one of the first investors in Omisego.
The Omisego blockchain wants to strengthen and transform the competition of cryptocurrencies. The system is specially designed in a way that the best currency will win. Its unique network technology eliminates the challenges faced when transacting between personal wallet facilities.
– When exchanging cryptocurrencies, you will not require a bank account as it has an official license.
–When using Omisego blockchain, low fees and Instant transactions are guaranteed.
– OmiseGo platform is designed with extremely high-security features. Decentralization of the blockchain allows its users to customize their own tokens. Additionally, one is also able to personalize how to store and use them.
– Omisego blockchain also has its own unique wallet that allows users carry out the transactions faster. One is also able to choose a unique interface for the wallet.
– To be honest, the platform can be confusing for beginners, and this is because the platform correlates with Ethereum blockchain. And because there is little about its historical records, we really cannot assure you of complete blockchain security.
Omisego is focused on “Unbanking the Banked”. This can be used in mainstream digital wallets. And taking complete advantage of this innovative technology Omisego is allowing peer-to-peer, real-time, value exchange services agnostically via organizational silos and jurisdictions, as well as through fiat money and decentralized currencies.
If you want to invest in a cryptocurrency, then there is no doubt that Omisego can be a great investment. In the near future, the OmiseGo network will be able to generate a huge number of transactions which will generate charges that will later be redistributed among the shareholders.