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What is OMISEGO (OMG)?

BitForex Editor
Jan 19, 2021

Technology has taken us to a whole new world of possibilities, everything has become seamless with technological advancements. Take a look at the banking industry, all you need is an app and you can do as many transactions as you want. It is no wonder that commercials on TV are advertised with so much excitement because technology secures and increases the speed of transactions. Now hold that thought, imagine if Ethereum was to be advertised on the right now, the new and exciting feature that ensures secured and fast transactions will be the OMG. Having one of the most innovative attributes in Ethereum proof of stake is what makes OMISEGO OMG so applicable to the crypto economy.

What is OMISEGO?

The acronym stands for OmiseGO which is a decentralized platform that serves as an extension of Asian payment services. The company was founded in 2014 but its operations to the OmiseGO are very different as the users and token holders are the ones in control of the OMISEGO. Think of OMG as a gateway that allows for the free transactions of Ethereum daily, it acts as a bridge between the Ethereum transactions themselves to the payment channels such as PayPal, or Visa. Unfortunately, Ethereum users still find it hard to use the OMISEGO therefore making the medium a bit scarce and detachable from the crypto economy. What the OMG if properly implemented will do is to aid the transfer of funds across different networks, many traders understand the joy attached to this advantage. Hence, the excitement gripping the whole of the crypto economy.

The future of OMISEGO is beyond bright as it can act as a validation technique for payment across different platforms. The interchangeability and interrelatedness between the blockchain technology and the payment processors become more seamless and effective with the OMG firmly in place. So, you can basically swap coins between Bitcoin and Ethereum through the proof-of-concept. It is certain that Omise is heavily invested in the growth of Ethereum, investing $100,000 to the Devgrants Ethereum foundation.

How Does OMISEGO Work?

There is a lot of buzz in the air for OMG but how does it actually work? The OMISEGO solution is built on the Ethereum network, this will lead to transactions been processed on this secondary layer hence freeing the primary layer which is Ethereum. In essence, the load eases off the Ethereum network which then transfers the processing jib description to the OMG. Therefore, Ethereum accommodates more space to do much more. The main issue the OMISEGO has come to fix is the problem of congestion. Over 1 million Ethereum transactions are done each day, therefore without a proper medium of handling these transactions network will be very slow.

The OMG is supposed to have an efficient security system just like Ethereum but with fewer transaction fees and quicker times. Since one of the major problems of Ethereum to date is scaling, there are other second-layer solutions such as zkSync and Optimism.

Crypto exchanges can also benefit from the solutions OMISEGO brings to the crypto economy table. Evidently, the goal is to reduce congestion while securing and increasing transactions in the digital space. However, OMG can be used as a means of rewarding people on the internet. Crypto exchanges and even betting companies can employ the OMISEGO network which allows for quicker payouts without any congestion.

For cryptocurrency, traders sometimes complain about delays in withdrawing as some might have to wait till the early hours of the morning just to get their funds. Frankly, it is not their fault. There are too many people on that exchange trading on that network at that particular time. Hence, one of the solutions to take the load off of Ethereum and other platforms will be to use the OMG network to aid the transfer of funds.

Furthermore, the storage of the OMISEGO is as simple as storing Ethereum or Bitcoin on the various trading platforms you use. The reason is OMG is an ERC-20 token, which means you can store it in a software wallet online whether on the web or mobile. Binance is a good place to start as the exchange is popular all over the world. OMISEGO can also be stored in hardware wallets such as Ledger. Regardless of the choice you make, the OMG is safe.

Interestingly, the Omise company has been making moves to partner with a lot of enterprising cryptocurrency industries in order to enhance the popularity of the OMISEGO. The Central Bank of Thailand also has a good relationship with the Asian company as well as McDonald's and other establishments in Japan.

The Importance of OMG

Imagine trying to make a trade and you get stuck for minutes without any confirmation and all of a sudden, the market dumps. You might have probably missed a golden chance to capitalize on a pump that would have earned you great profit. The peculiar case with Ethereum is the network congestion, two things can happen when there are too many transactions on a network struggling to cater for them. The first is there would be higher transaction fees as people will be stuck on a queue hence the one with the highest bid gets to pass through while others still stay in line. It is like being to the club but the line is so long, you go to the bouncer to tip, and boom, he lets you in. OMISEGO is so important that it reduces the congestion speed by offering thousands of transactions per second at a lower cost than what Ethereum gives.

In conclusion, the OmiseGO is surely open for the future with its properties, it can provide a lasting solution to the problems that plague the Ethereum network. As such, the OMG network will be beneficial to financial institutions as confirmations are made quicker and issues are resolved with all parties involved satisfied. In a biff to transition into a new system of decentralization, the Asian company continues to push through barriers to get the layer 2 (OMISEGO) part of the teg Ethereum network.

About BitForex:

BitForex is an exchange service platform that can be classified as one of the Top 10 cryptocurrency exchange services. It is focused on providing millions of users with a digital currency trading and investment tool that is not only safe but also professional and convenient. BitForex has a high customer-oriented culture and state-of-the-art financial technology.

BitForex is programmed in a way that it can quickly adapt to the changes of the Crypto market while introducing new features like margin trading, enhanced trading charts,  derivatives, and a host of others. The headquarter of BitForex is located in Hong Kong, while there are branch offices in countries like the United States, South Korea, and Singapore.

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