Ana Sullivan

OmiseGO Still Does Not Have a Working Product

by Ana Sullivan January 30, 2018

OmiseGO (OMG), as advertised on its own website, is “a public Ethereum-based financial technology for use in mainstream digital wallets, that enables real-time, peer-to-peer value exchange and payment services agnostically across jurisdictions and organizational silos, and across both fiat money and decentralized currencies”. Developed by Hasegawa and Donnie Harinsut, the founders of the already operating Bangkok-based company Omise, OmiseGO`s is planning to provide improved financial services for both people who use traditional banking services and people in developing countries and areas that lack traditional banking infrastructure. Its slogan is “Unbank the Banked with Ethereum” and it enables financial transactions like “payments, remittances, payroll deposit, B2B commerce, supply-chain finance, loyalty programs, asset management and trading, and other on-demand services.”

OmiseGO`s initial coin offering (ICO) in 2017 raised more than $25 million USD, turning down over $100 million in the process. It ended in June last year and it was fully funded. Currently, it is the sixth highest market cap Ethereum project and the first one to exceed $1 billion USD valuation. The current price of the OMG token is $17.26 USD. With a total supply of 140,245,398 tokens and a circulating supply of 102,042,552, OmiseGO`s market cap is valued at $1,760,836,069 USD.

Described as “the answer to a fundamental coordination problem amongst payment processors, gateways, and financial institutions”, OmiseGO`s intents to state that its goal is not to be a cryptocurrency like Bitcoin or others, but rather to provide users with an alternative to online exchanges. The ideas of OmiseGO does sound good, at least on paper, but let`s dig a little deeper.

First of all, as an investment class, cryptocurrencies of all types are risky. Investing and trading involve significant risks as they are very volatile, vulnerable to hacking, the return on investment is not guaranteed, etc. Before deciding to put all your money on something like that, you should take all the facts into consideration. You must decide whether the potential, unguaranteed profits overweight the risks.

So, here are some of the red flags which stood out and which a potential investor should not ignore. For starters, OmiseGO has not released a working product yet. Not even an alpha version. This is not typical for cryptocurrency projects. Also, there is no public Github/dev activity showing work in progress which is also alarming and may lead doubts and hesitation. In addition, OmiseGO`s marketing tactics are kind of questionable. The CEO is constantly and aggressively pumping the coin by teasing announcements of announcements through Twitter. He is always excitedly posting about the project, tweeting out photos with no substance. It looks like he is spending more time teasing on Twitter and speculating so that the OMG`s price would jump than doing his job. This kind of marketing strategy is not okay. It is alarming and investors should really take the time to possibly reconsider and reevaluate the situation. The lack of a working product, though, is the most concerning fact. Think carefully and if you decide to invest, be prepared to accept the risks which may follow. In the cryptocurrency business, there are always risks.

Comments 2

1. Guest
January 30, 2018, 11:10PM

Quotes Are you confusing OMG with TRX?

2. Guest
January 30, 2018, 02:02PM

Quotes Based on the concept of OMG, the price should have multiplied by 10 times by now if it was for the purpose of pumping. Other coins with no product, no value and nothing have gone up 10 times whereas, OMG has been between $10-$20 since past 6 months now. Do your research before writing an article which is worthless. Get your facts straight.

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