What is OmiseGO?
OmiseGo is a payment service company working is Asian countries like Japan, Singapore, and Thailand. Omise, Go started its services in 2013. This company known for OMG crypto coins. The value of OMG more than doubled on 21st August and sparked the interest of many traders who trade crypto coins. So today we will see what this coin is all about and what is the reason behind the recent interest.
OmiseGO (OMG) is built on the Ethereum smart-contract platform and based on ERC-20. OMG uses a proof-of-stake (PoS) algorithm and has a total supply of 140,245,398 tokens.
OMG is like a bank with no central control. It is an asset-backed blockchain gateway. OMG’s goal as per its creators is to be a “preeminent high-value exchange and settlement platform”.
Their goal is to bring banking services to the unbanked. For this, they want to use their open-wallet infrastructure. This will facilitate the transaction between the many Legacy payment gateways (like ACH, VISA, Paypal) and decentralized blockchains (like Ethereum).
OmiseGo is based on the Ethereum network and its success is also tied to the success of Ethereum itself.
Initial days and ICO
When OmiseGO began It held an ICO(initial coin offering) in 2017. It was a fashion in those days for new crypto startups to offer their coin as ICO. In initial days it did very well and prices reached to $25 very soon. But prices plunged about 99% very soon. Since then it is trying to recover which just happened recently.
What’s behind the recent rise
The main reason behind its latest pump was the decision of Ethereum to move its ERC20 token transfers onto OmiseGo. With the increasing popularity of the main Ethereum network, the gas fee was rising really fast. Due to this any transaction on the main network was becoming very costly. Ethereum was looking for a way to reduce gas fee. Free up the main network a bit and increate transaction times. OmiseGo network is much faster and cheaper. It is a layer 2 network that is built on top of the main network.
This announcement has led to a recent rise. This is not just the success of OmiseGo but the overall success of the crypto world. It shows that how Ether can expand and grow from here.
What is a Layer 2 network
A layer 2 network is the one that is built on the top of main network. Just think of a power distribution network. How the local distribution grids take power from main Grid and take it to the consumers. In same way if everyone starts doing transactions on main network it will become congested and slow. So a layer 2 network can support the main network and take load off it.
Is there more potential in OmiseGo
A fall from level of 25$ and long recovery has really demoralized some investors. But it looks like the bad phase is now over. Omise go has already gained a lot after the recent announcement but it is still far from its life time high of 25$. I can see it has a good potential.
Like any other investment crypto coins also have the risks. But I think Crypto world has just began. Compared to many technologies it is still new and has great potentials.
This is not an investment guide but just my belief in the power of crypto and how it can change the world.
You can visit official site here for more information.
Can I buy OmiseGo in India?
Yes Omise go is listed on Wazirx the most popular crypto exchange in India. You can join and trade along with many other Alts on Wazirx. YOu can follow below link to Join.
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