Table of Contents
What Is OMG Network (OMG)?
OMG Network (OMG), formerly known as OmiseGo, is a non-custodial, layer-2 scaling solution built for the Ethereum blockchain. As an Ethereum scaling solution, OMG Network is designed to allow users to transfer ETH and ERC20 tokens significantly faster and cheaper than when transacting directly on the Ethereum network.
The network is based on a novel scaling solution called MoreViable Plasma, which uses a sidechain architecture to group several transactions off-chain into a batch, which can then be verified as a single transaction on the Ethereum root chain. According to OMG Coin, this technology has the potential to scale Ethereum to thousands of transactions per second (TPS) — instead of the 10 to 14 tps Ethereum 1.0 is currently capable of.
The network is powered by the OMG utility token, which can be used as one of the payment methods for fees on the OMG Network. It will eventually be stackable, helping secure the network in return for rewards.
Who Are the Founders of OMG Network?
The OMG Network currently consists of a team of more than 50 employees worldwide. It was founded by Thai-born Vansa Chatikavanij and operated as a subsidiary of SYNQA — a Thailand-based fintech firm known as Omise Holdings.
As the projector founder, Vansa Chatikavanij received a master’s degree in earth and environmental sciences at New York’s Columbia University. Following this, Chatikavanij held several consulting roles at prominent financial institutions, including the International Finance Corporation (IFC) and World Bank Group, before founding OMG Coin (then OmiseGo) in 2017.
Chatikavanij held the role of managing director at the company until 2019 before transitioning to the position of CEO, which she still has to this day. Beyond this, Stephen McNamara — former head of blockchain R&D strategy at Huawei Technologies — is OMG Network’s COO, whereas Kasima Tharnpipitchai, a heavily experienced engineer and consultant, is its CTO.
What Makes OMG Network Unique?
OMG Network believes that Ethereum’s significant speed and cost barriers will need to be overcome before mainstream businesses consider building their products and applications on the network.
The OMG Coin project is built to help make Ethereum more attractive to businesses and projects that want to scale while simultaneously cutting down on their carbon footprint. It achieves this with its plasma-based sidechain solution, which can help reduce electricity usage by up to 99% compared to Ethereum and cut fees by around two-thirds while ensuring assets remain secured by the underlying Ethereum network.
The platform is supported by $25 million in funding obtained during its 2017 initial coin offering (ICO). Moreover, OMG Network parent firm SYNQA recently raised a further $80 million in Series C funding — and was supported by several major investment firms, including Toyota Financial Services Corporation and Sumitomo Mitsui Banking Corporation.
How Many Are OMG Network (OMG) Coins There in Circulation?
Like most cryptocurrencies, OMG Network tokens have a fixed maximum supply. This is at exactly 140,245,398 OMG and will never increase beyond this point. Unlike many other cryptocurrencies, this total supply has already been fully minted, with the majority already in active circulation.
Of the total supply, 65.1% of tokens were distributed to investors, and 5% were distributed in an airdrop, whereas the project and team hold the last 29.9%. Of this 29.9%, 20% is locked in the OMG Network reserve smart contract for funding future developments and network validation, and the remaining 9.9% is reserved for the founding team.
The OMG reserve and team allocation were locked for one year, but this has since elapsed.
How Is OMG Network Secured?
The OMG Network mainnet will eventually move to a proof-of-stake (POS) consensus system, which will allow users to stake their tokens to help secure the network and earn rewards.
Until then, OMG Network child chains are secured by a proof-of-authority (PoA) consensus mechanism, a simplified proof-of-stake controlled by a single block producer (OMG Network itself) for now — which essentially stakes its reputation on staying honest.
OMG Network plans to transition to proof-of-stake as soon as it’s ready, following which OMG holders will be able to become stakeholders in the success and security of the network by delegating their stake to validators.
Where Can You Buy OMG Network (OMG) Tokens?
OMG tokens are highly liquid and can be purchased or traded on well over 200 different exchange platforms, including several top 10 exchanges — such as Coinbase Pro and Binance. Some of the most popular trading pairs include OMG/USDT, OMG/BTC and OMG/ETH.
OMG can also be traded against several fiat currencies, including U.S. dollars (USD), euros (EUR) and British pound sterling (GBP).