OMG Network, or OmiseGO as it was previously known, is an Ethereum scaling solution created using Plasma technology. Plasma is a series of smart contracts that run over a root chain, in this case, the Ethereum blockchain. The project, underpinned by the OMG token, has created a layer-2 landscape for developers to create scalable applications, without taking the hit of high gas fees on Ethereum. Moreover, the Ethereum scaling solution is popular for enterprise development, thanks to its versatility, privacy options, and cost-efficiency.
Scalability has been an issue related to the Ethereum blockchain for years, so the next time you hear terms like Sidechains, Plasma, Channels, or Rollups, you’ll no longer have to wonder what they mean. These are all proposed solutions to help Ethereum scale. Moreover, so-called Layer-2 solutions are widely seen as potentially holding the keys to helping Ethereum to scale and reduce Ethereum gas fees.
As you are probably aware, we are on the verge of an Ethereum revolution, colloquially known as ETH 2.0. This upgrade is going to bring in a lot of innovations to the popular Ethereum protocol.