OMG Network (OMG) Wallet

The OMG Foundation, previously known as OMG Network and OmiseGo, is a layer-2 scaling solution for Ethereum. It was founded in 2017 by, a Thailand-based fintech enthusiast, Vansa Chatikavanij. Currently, there is a team of over 50 people behind the project.

The core mechanism behind the project is called MoreViable Plasma (MoreVP): it groups several transactions off the Ethereum network to get them processed as one and then returns them for final validation. It helps decrease transactions’ duration and costs. In this case, OMG Foundation handles thousands of transactions per second and managed to reduce their cost by one-third. The cost is lower due to gas fees being paid for a group of transactions rather than each transaction separately. MoreVP also utilises the UTXO-based transaction model which helps prevent the double spending issue.

The decentralized security of the network is achieved with the help of the “Watchers” — a network of computers, supervising the block that produces nodes, an Operator. Any user can become a watcher monitoring the network. Currently, the OMG Foundation uses a Proof of Authority algorithm, however, it is planning to move to the Proof of Stake algorithm. Once that happens, the OMG token will not only be used for paying transaction fees but also as a staking mechanism.

The OMG Foundation is planning to launch a new token, BOBA, in November 2021. The said token will be used for governance and rewards on the Boba network, a layer-2 scaling solution for Ethereum.