The OMG network is a non-secure scalable layer two solution for Ethereum, formerly known as OmiseGo. The OMG Foundation is responsible for managing this project. This network was considered a useless project compared to Ethereum layer two scaling solutions such as Polygon and Arbitrum, but with the integration done by Boba network, a solution was created to save this project. In this article, we will examine this network, its advantages and applications.
What is OMG Network?
The OMG Network (formerly OmiseGO) is a value transfer network for Ethereum and any ERC-20 token. It describes itself as the first production-level Ethereum scaling solution and aims to allow people to move money and all kinds of digital values on the blockchain faster, cheaper and without compromising security. do
As mentioned, the OMG network is an Ethereum -based network that was created with the aim of solving the scalability problem of the Ethereum blockchain. This network produces an independent block called the Proof of Authenticity Algorithm (PoA) chain. The OMG network has built a value transfer layer on top of Ethereum to group Ethereum transactions and speed them through an optimization chain before sending them to the Ethereum blockchain for confirmation. Therefore, instead of confirming transactions separately, it confirms them in batches. This process increases the speed and lowers the price of transactions.
This network is a proof-of-stake platform and among Ethereum-based consensus algorithms , which makes financial systems transparent and public. This network works to create transparency and publicize by helping decentralized payment networks. The network also helps users to transfer ETH and ERC20 tokens faster and cheaper than direct transactions on the Ethereum network. This platform is operated by Omise, which facilitates cross-border payments in Southeast Asia.
What is Boba Network?
The Boba network is a network with lower GAS fees and improved transaction throughput. The network is also compatible with Ethereum and claims that DeFi and NFT applications that are expensive for retail customers will become affordable on the Boba network. The network also offers fast exits supported by community-based liquidity pools and a Boba NFT bridge, allowing NFTs to be launched on Boba and cost-effectively connected to Ethereum. Therefore, users in this network, in addition to benefiting from the security and decentralization of Ethereum, can also benefit from the fast implementation and low transaction costs in Boba.
Founder of Boba Network
Alan Chiu founded the Boba network in 2018. He has a 20-year experience in setting up and investing in corporate startups. Alan Chiu is also a member of the alumni board of Stanford Business School.
A quote from Al Chiu: “From a community perspective, we are fortunate to have inherited the OMG network . We have a DAO and a token, so Boba token holders can participate in running the network. We also benefit from We share the network with our token holders.”
How does the OMG network work?
The Boba network is an Ethereum-based network where users can transfer their assets from Ethereum to Boba and various second-layer blockchains through the Boba bridge, so users pay a small fee to the liquidity providers that support the swap. do
What makes the OMG network unique?
This network reduces the high fees of GAS in Ethereum. Also, this network has promised to create an ecosystem fund to encourage initial projects with exciting ideas. By choosing Optimism as a scalability solution, the network has made it easier to keep up with Ethereum’s evolution.
One of the advantages of Boba is that with the quick withdrawal solution, it allows users to withdraw earlier than 7 days in Optimism by paying the facility fee.
This network relies on market forces to create efficiency optimization in this case. Boba also plans to pay its users up to $100,000 in rewards based on the severity of the bugs discovered. Bridging on Boba is fast and simple and can be done by connecting Metamesh to the network bridge and then transferring funds from Ethereum to Boba. Of course, the Ethereum gas fee is applied to this transaction, so users must make sure they have enough funds to complete this transaction.
OMG network joined scalability solutions such as Polygon, Arbitrum , zkSync, StarkWare in the medium of Boba Network to solve Ethereum scalability problems .
Benefits of OMG Network
1- Popular technology
The main advantage of the OMG network is that it creates a global decentralized platform for exchanging digital currencies as well as fiat currencies . People can exchange their cash holdings without opening a bank account or having a credit card. Transferring digital currency to OMG Network is much cheaper than other similar services.
2- Strong support
OMG network with famous blockchain company Bitcoin Suisse AG. Further, cooperated in the crowdfunding stage. Also , Vitalik Buterin and some developers such as GOLEM and MakerDAO have supported and supported this project. Also, the Thai government has helped the OMG platform for further development.
3- Having big investors
In addition to shinhan financial group, some financial institutions such as SMBC, GGV, AscendCapital, etc. have also invested in OMG network as financial partners.
The main applications of the OMG network
– This network does not require the use of tokens to carry out transactions between blockchains, so it is easier to carry out transactions in this decentralized exchange platform.
– This network has used cross-chain functionality to improve settlement processes as well as user experience in new blockchains.
– OMG Network reduces competitive pressure and allows blockchains to focus on improving their services rather than spending on marketing.
– In addition to facilitating simple transactions, the OMG token plays an important role in securing the OMG network more cost-effectively and quickly .
– By having OMG tokens, users can buy the credit of this blockchain based on consensus rules.
– The OMG token is used to buy shares during the offering of shares.
– OMG token is also used to pay for services on the network.
– The price of the OMG platform fluctuates based on market pressures and the value of transactions.
OMG Network Security
The Proof of Authenticity (PoA) mechanism provides security for the OMG network. This mechanism, while controlling the OMG network, makes users trust it regarding the validation of transactions. Then the main network is transferred to the POS system, which is the proof of stake mechanism, and users can hand over their tokens to the validators. This improves network security and also earns users additional rewards.
OMG Network Wallets
From June 2020, users can get the OMG web wallet on this network by visiting its website. After creating a wallet for themselves, users can deposit their assets in it and manage it in the plasma chain.
Users should consider the type of use and the amount of capital they want to save in order to choose the right wallet.
Hardware wallets, which have high costs and are complicated to work with, are a good option for storing a large amount of OMG due to their security and strong support. Ledger wallet is one of these wallets that has considered good methods for storing OMG.
Softwallets are also suitable for storing small amounts of OMG. Beginners can easily use these wallets. These wallets are less secure than hardware wallets, but their cost is low and it is easy to work with these wallets. Users can download the smartphone version and the desktop version.
In addition to hardware and software wallets, web or online wallets are also suitable for storing OMG. Users can access these wallets through a web browser and multiple devices. These wallets are free and easy to use. Of course, they are less secure than hardware and software wallets, so they are not suitable for storing a large amount of OMG.