What is OmiseGO? - Financial Dapp Review
OmiseGo is described as a decentralized exchange and payment gateway with a white label digital wallet. Its primarily focused on creating a way to transact any asset from anywhere in the world in real time with low fees, without any governing bodies. OmiseGo is basically positioning itself to become the ultimate solution for anyone seeking to do anything related to finances. Its currently ranked number #535 on the Stateofthedapps website in the category of finance decentralized applications.
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OmiseGo was birthed in 2017 by its parent company “Omise, which is a venture-backed online payment gateway founded in 2013. Omise is trusted and used by over 10,000 merchants in the Asia-Pacific region. Though OmiseGo was created by Omise, it's not controlled by the Company. It’s entirely owned by its users and token holders who do all the verifying and decision-making within the network.
Powered By Plasma
OMG is established with the essence of pioneering the plasma architecture, which is the leading Etherem Layer 2 scalability solution. The OMG network is also described as a proof-of-stake and infinitely scalable Plasma blockchain with a decentralized exchange built into its core consensus layer.
Features
White-label SDK
With this feature, you can build an app with the SDK in order to allow wallet-to wallet transactions of Crypto and fiat currencies, loyalty points, game credits and many more.
Digital Asset Gateway
Through using the OMG network you can access, manage and transact with digital assets that are kept securely on the chain using the OMG network.
Decentralized Exchange
The decentralized exchange mechanism provides multi-asset and cross-chain interoperability that is scalable and secure via proof-of-stake.
Clearinghouse
This feature is concerned with providing Secure and rapid transaction clearing through the use of Ethereum smart contracts and protocol consensus.
What is good about OmiseGO?
Access
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Digital wallet providers can connect to the public OMG network to enable users to transact any digital assets, including crypto and fiat currencies through the use of open source white-label SDK.
Security
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Has secure token Custody, decentralized exchange of all Ethereum assets, and an ultra-secure transaction validation due to its interaction with the Ethereum Blockchain.
Scalability
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Has a plasma architecture which allows unlimited scalability with unprecedented transaction speed with millions, and potentially billions of transactions per second.
Interoperability
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There are Seamless interactions among financial applications such as wallets via the OMG network. The OMG ecosystem also enables users to trade assets from different Blockchain protocols like Bitcoin.
Decentralized
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Token holders can validate transactions and earn fees through staking where the tokens gain value as the network gains value.
Comparison with other works
Various efforts have been done in order to build a Cryptocurrency exchange structure. There are high performing Cryptocurrency exchanges such as Poloniex, though highly centralized and rely on the trust of a single party to hold custody responsibly and execute orders honestly which is something that can be compromised.
Networks such as Ripple (XRP) heavily depend on trusted named validators to reach consensus, which game theoretically converge on an unchangeable set. Ripples trading functionality also inclined on trading issued assets on its own platform (with significant issues related to custody selection), whereas a decentralized exchange cannot trade Ether or Bitcoin without creating an issuer gateway.
EVM smart-contracts used by the various exchange platforms makes them rely on either doing things directly on-chain hence forcing everything on the Ethereum network and not permitting cross-blockchain activity. These can also to do things off-chain without a single execution engine. On the other hand, the OMG chain is designed to operate trading across chains such as ETH-BTC without using full-custody issued assets for native cryptocurrencies.
The way OmiseGo operates is quite complicated as there is no simplified and straight forward method laid down showcasing how it operates. I advise the team behind this project to simplify the operation process for the readers and would be investors in this project. Otherwise, I like its innovation seeking to make it easier in making cross chain transactions such as Eth-BTC.
Want to learn more about Omisego?
OmiseGo Website