July 6, 2017
DescriptionThe OMG network is a scaling solution for finance on Ethereum, enabling transparent, peer-to-peer transactions in real-time. The decentralized network facilitates self-sovereign financial services across geographies, asset classes and applications. OmiseGo builds an app with our SDK to enable wallet-to-wallet transactions of crypto and fiat currencies, loyalty points, game credits and more. It uses the OMG network to access, manage, and transact with digital assets that are kept securely on chain. Besides, it offers a decentralized exchange mechanism to provide multi-asset and cross-chain interoperability, that is scalable and secure via proof-of-stake. OmiseGO is building a decentralized exchange, liquidity provider mechanism, clearinghouse messaging network, and asset-backed blockchain gateway. OmiseGO is not owned by any single one party. Instead, it is an open distributed network of validators which enforce behavior of all participants. It uses the mechanism of a protocol token to create a proof-of-stake blockchain to enable enforcement of market activity amongst participants. This high-performant distributed network enforces exchange across asset classes, from fiat-backed issuers to fully decentralized blockchain tokens (ERC-20 style and native cryptocurrencies). Unlike nearly all other decentralized exchange platforms, this allows for decentralized exchange of other blockchains and between multiple blockchains directly without a trusted gateway token. Markets may be able to significantly reduce spreads and encourage market assurance via decentralizing custody and increased transparency of market activity. This is achieved using smart contracts, protocol tokens enforcing correct market behavior of orderbook matching, a new construction of Ethereum bonded external enforcement of clearinghouse activity, and commitments to historical exchange data for use with Ethereum smart contracts. There are several benefits such as access. Through the open source, white-label SDK, digital wallet providers can connect to the public OMG network to enable users to transact any digital assets, including crypto and fiat currencies. It has high security because bonding to the Ethereum blockchain creates secure token custody, decentralized exchange of all Ethereum assets, and ultra-secure transaction validation. It is very stable as the Plasma architecture allows for unlimited scalability with unprecedented transaction speed: millions, and potentially billions of transactions per second. OmiseGO allows for stakeholders, from individuals to issuers, to have significantly greater assurance in the financial mechanisms of society. With the emerging popularity of eWallet platforms, siloed networks are becoming a problem. This creates a unique opportunity for fiat tokens to interchange across a decentralized network, along with cross compatibility with cryptocurrencies. In order to build this decentralized interchange network, it requires not only a blockchain well-suited for payments and interchange of issued tokens, but also a decentralized exchange which supports these activities, as well as incentives around creating well-functioning liquidity pools. Eventually, these issued tokens may asymptotically get closer and closer to full decentralization (including user-owned keys) which maximizes agency of the individual. This can be achieved by creating not only transparency in the business process of payment interchange, but also removing the ownership of the business process itself from a single trusted entity. The OmiseGo team has already been recognized as up and coming “Fintech Rockstars” by Forbes for their contributions to date. Omise contributed $100,000 in funding to the Ethereum foundation’s DEVGRANTS which is a program to help new Ethereum focused projects, develop the code bases and implement community evangelism. This indicates their commitment to the Ethereum ecosystem as a whole.This has helped them amass a fairly stacked advisory board. The OmiseGO board lists the co-founders of Ethereum, Golem, Tendermint, Cosmos and even the Lightning Network as advisors. That’s quite a justice league of crypto-superstars. Although many cryptos are focused on disrupting global banking, Omise and OmiseGO are actually following current trends in the banking industry. Their goal is to provide banking to the unbanked, something both PayPal and Stripe are also doing in a similar manner. Check out CoinBureau for the complete review of OmiseGo.