Blockchain was created to exchange digital value. Whether that value is within data or of a monetary nature, blockchain transfers the value efficiently and securely. The current leader in the space of decentralized finance, the Ethereum blockchain (ETH), is showing much promise, but is held back by a couple weaknesses. The ETH network has been experiencing congestion over the last several months. This is both a wonderful problem to have, but needs fixed sooner rather than later. You do, of course, want adoption and interest in your network. Brought on by the DeFi crowd, ETH transaction times are longer, and the fees per transaction are much higher. This is not efficient. There are means to enhance the Ethereum blockchain and remedy the current problems though.
Layer-2 solutions help streamline a network by aggregating transactions into a more effective framework for validation. Think of ETH as a highway. The participants within the network are sending their value down that highway, but the lanes are narrow. Traffic is slow. Layer-2 brings some order to this by consolidating transactions together. The OMG Network has shown themselves as a leader in these scaling solutions.
Through compressing or bundling transactions together, the OMG Network saves data and space on-chain. With more space on-chain, the network isn’t as bogged down so transactions move much quicker and those fees are much cheaper. By utilizing ETH’s immutable smart-contracts, all value is moved securely. ETH moves roughly 14 transactions per second, and the OMG Network scales ETH to thousands of transactions per second. The efficiency gained through what OMG offers makes fees 3x lower than that of the ETH network. With the current atmosphere of DeFi and NFT hype, solutions like this would be a blessing for all participants involved.
Its been known since CryptoKitties that Layer-2, that the OMG Network has been needed. With the interest and demand in the space, now seems to be the prime time for Layer-2 and the OMG Network. The next era of Ethereum is around the corner. Bitfinex, one of the largest exchanges by volume, has already integrated Tether (USDt) on the OMG Network. OMG will prove itself. Its lean. Its fast, and will help farm all your favorite food tokens with great ease. I can see it. We are close.
For more information on the OMG Network and what they are building, I suggest watching a recent Fireside Chat with OMG Network CEO, Vansa, CTO, Kasima, & COO, Stephen for a sense of the direction this network is moving and what challenges they are overcoming for the Ethereum Network.
