OmiseGO (OMG) is a money transfer system in Southeast Asia. It is based on Ethereum technology and seeks to provide individuals and institutions with a platform for transactions without resorting to centralized intermediaries.
Besides June Hasegawa as the founder of OmiseGO and CEO of Omise, Vitalik Buterin, Gavin Wood, Joseph Poon, and Julian Zavistovsky serve as a direct founding member or as an adviser to OmiseGO.
Thus, a young startup is supported and developed by first-class blockchain developers, which makes ambitious goals quite realistic.
OmiseGO gained great fame thanks to ICO (Initial Coin Offer), which was held on June 2017. One hundred forty million OMG tokens worth more than $ 35 million were sold. After some time, the cost of the token has already increased to $8 – the exponential price growth was more than 300%.
OmiseGO has two main functions: a gateway between various blockchains and a wallet with an integrated distributed exchange (DEX). Through a combination of two products, OmiseGO offers a useful decentralized wallet for different fiat, cryptocurrency, and possibly future assets.
Then, they can be traded inside the wallet easily, quickly, and inexpensively. The payment gateway OmiseGO allows, among other things, you to pay to the world with its desire for different currency because OmiseGO automatically converts to the target currency.
OmiseGO works through the Ethereum blockchain, but in the future, OmiseGO will receive its blockchain (Proof of Stake based). OmiseGO will also be the first project to use the planned Plasma upgrade of the Ethereum infrastructure.
Plasma is an upgrade to Ethereum that allows you to increase the number of transactions in the Ethereum blockchain significantly. This would enable OmiseGO to provide for millions of transactions per second soon.
What affects the price
Although OmiseGO, in general, copies the trend characteristic of the entire cryptocurrency market, the graph from 2017 to 2019 shows that the coin is capable of generating investor interest even under the pressure of negative factors. This is not surprising, given the composition of the development team.
Slight fluctuations characterize the coin during the day up to 10-20 points, and on the weekly chart, the volatility reaches 100 points. An excellent financial margin requires significant financial assets. But there is a positive side to this – stability of quotes minimizes financial risks.
Since OmiseGO is focused primarily on the South-East and Asian countries, an unstable political position on cryptocurrency negatively affects the exchange rate. News is perceived by market participants intensely and leads to an outflow of capital.
At the same time, there are enough enthusiasts who believe in the bright future of the coin and are not in a hurry to withdraw assets. OmiseGO is a promising token, so it should be included in the investment portfolio, but it is not unusual for the medium and short term trading.
It is worth noting that the position of the developers also dramatically affects the exchange rate of OmiseGO. If European banks are connected to the system, the price of the currency will increase significantly, since there will be a large number of users who are interested in this asset.
A trader can make money trading OmiseGO based on fiat currency news. A drop in the price of the dollar or the euro will lead to an increase in the value of the token. In addition to the standard volatility, the difference can reach 300-400 points, which is acceptable for opening quick orders.
According to most experts, a significant increase in the cost of all cryptocurrencies in 2020-2030 will be due to the introduction of blockchain technologies into everyday life. This makes it reasonable to buy coins that are cheap but have real prospects of growth.