Genesis Block Ventures, known as GBV, a full-service investment company working with Genesis Block, announced today the acquisition of recently rebranded OMG Network (OMG), the leading Layer-2 scaling solution for Ethereum.
Formerly known as OmiseGo, OMG Network was established as a SYNQA subsidiary in 2017 to pioneer the development of Layer-2 infrastructure to support the Ethereum blockchain ecosystem. The project, OMG Network, is a trustless, non-custodial, Layer-2 scaling solution for transferring value on Ethereum.
The acquisition of OMG Network is GBV’s first major acquisition made as the company continues to grow.
GBV’s First Major Acquisition
As an investment company with a mission of building the future through blockchain, GBV has built a wide-reaching, vibrant blockchain ecosystem. Through this acquisition, GBV is dedicated to leverage its network strength, to promote the accelerated growth of OMG Network, and further enhance the adoption of OMG blockchain in Asia and beyond.
GBV has been an active participant in the decentralised finance (DeFi) revolution this year and has built strong relationships with projects in the space, as well as leading exchanges such as Binance and FTX.
GBV foresees the main headwind to the development of DeFi, is that Plasma is not EVM compatible, which makes the massive adoption of DeFi more challenging.
As a leading Layer-2 scaling solution for Ethereum, OMG Network supports the transfer of ETH and ERC20 tokens with a throughput of thousands of transactions per second, scaling Ethereum and making it enterprise-ready.
As a major milestone, OMG Network successfully integrated Bitfinex with the OMG Network to allow the movement, deposit, and withdrawal of USD
DeFi projects rush towards Layer-2
Following the acquisition, a number of integrations and partnerships are in the works, GBV and OMG will work closely together to leverage resources and explore new directions, such as building lending and trading platforms, to achieve DeFi’s massive adoption and growth potential.
As one of the major objectives of this acquisition, GBV will ensure the smooth transition of OMG Network’s team and business from SYNQA to GBV, minimizing the impact of the acquisition on OMG Network’s token price. Additionally, both companies will address appropriately to the potential concern from employees, clients, token holders and the community.
GBV believes that the focus of OMG Network’s current operations is on completing the planned roadmap for the next six months; the existing lines of partnership and cooperation will be expected to continue on an arm’s length basis.
The goals of the OMG Network will remain unchanged in the short term. Its native token OMG continues to be the token that powers the OMG Network. With the new changes, OMG Network will work on more partnerships to broaden the use cases.