Overview of OMI Coin and Its Role in NFT Trading
OMI coin stands out among various blockchain assets that facilitate NFT trading. Non-fungible tokens (NFTs) have emerged as a promising digital asset category, with the potential to revolutionize auction houses, art galleries, and the market for digital collectibles. ECOMI, the platform behind the OMI token, operates within this vibrant ecosystem. If you’re contemplating the acquisition of NFTs for personal enjoyment or considering minting them for sale, this guide evaluates whether investing in ECOMI crypto is a worthwhile endeavor.
Key Insights
OMI token serves as the backbone of VeVe’s marketplace, enabling transactions for officially licensed digital collectibles. The platform has enhanced its scalability through blockchain migrations, transitioning from GoChain to Ethereum and subsequently integrating with Base for improved performance. A significant token burn event has drastically reduced the circulating supply from 750 billion to approximately 310.8 billion tokens. The future of OMI is closely linked to the revival of NFTs, as its success hinges on the demand for digital collectibles and the growth of the VeVe ecosystem.
Understanding OMI
To provide clarity, it’s essential to define a few terms before delving deeper into the OMI coin. ECOMI is the underlying blockchain project developed in Singapore, and it is also the name of the company spearheading the project, led by CEO David Yu alongside co-founders Daniel Crothers and Joseph Janik. A brief overview of their backgrounds reveals that David Yu founded Games R Us Ltd at the age of 17, later establishing multiple successful ventures over 24 years, earning two nominations as a finalist for the Ernst & Young Entrepreneur of the Year award. Daniel Crothers has also launched several companies, notably a media business that attracted millions of followers before he ventured into blockchain in 2016. Joseph Janik previously held the CEO position at Canadian Movement Food and Earnest Solutions. ECOMI partnered with ORBIS Blockchain Technologies Ltd. to develop the VeVe platform—an all-inclusive app for digital collectibles that incorporates gaming, digital streaming, and in-app purchases. It’s also worth noting that the VeVe marketplace was formerly known as ECOMI Collect.
Launch and Growth of VeVe
The VeVe app, launched in late 2020 and available on both Android and iOS, has facilitated the trading of over half a million digital collectibles since its early 2021 debut. This platform has drawn the attention of prestigious brands, such as Universal Studios, Warner Brothers, Cartoon Network, DC, and General Motors. ECOMI conducted its Initial Coin Offering (ICO) on May 12, 2019, concluding the following day. During this period, ECOMI secured 15 licenses, introduced its secure crypto wallet, and incorporated NFT and OMI token support.
Functionality of OMI Coin
The OMI token serves as the economic engine of the VeVe platform, acting as the medium for transactions. Whether you are looking to mint a new digital collectible or purchase one, the ECOMI crypto is essential. As a utility token, OMI is specifically designed for trading within the VeVe ecosystem. Initially, OMI was not an ERC-20 token; it began as a GO-20 token on the GoChain blockchain. However, it has since transitioned to an ERC-20 token operating on Ethereum and Base. Unlike Ethereum’s proof-of-stake (PoS) mechanism, GoChain employs a proof-of-reputation (PoR) model, which builds the reputation of blockchain nodes based on participation, transactions, and staked assets.
OMI Tokenomics
The initial total supply of OMI coins was 750 billion, with 20% allocated for the initial sale to finance the project. The first fundraising event had a hard cap of 1,500 BTC, exchanged on the Bitforex platform when Bitcoin was valued between $6,000 and $7,000. Currently, the self-reported supply of OMI coins stands at approximately 270 billion, with a total limit of 310.8 billion. Furthermore, 20% of the entire supply was designated for ECOMI’s business development, while another 20% went to board members and advisors. Following the launch of the VeVe ecosystem, over 340 billion OMI tokens have been burned, effectively reducing the original token supply to below 310.8 billion.
OMI’s Development Path
In 2021, ECOMI initiated its migration from the GoChain blockchain to Ethereum’s layer-2 solution, Immutable X, but later paused operations on that platform for reasons not disclosed. In January 2022, OMI transitioned from GoChain to Ethereum to become an ERC-20 token. Regarding OMI’s inflation-deflation strategy, the ECOMI founders and advisors voluntarily released all available tokens into circulation by 2022. Initially, a reserve wallet held around 40% of the total OMI supply for in-app use on the VeVe platform, but these tokens were ultimately made available to promote decentralization and enhance utility.
Future Projections for OMI Supply
In 2024, OMI integrated into the Base blockchain, another layer-2 solution built on Ethereum. This strategic move aims to enhance scalability, lower transaction fees, and accelerate transaction speeds while leveraging Base’s expanding user base.
Investment Potential of OMI Coin
On March 19, 2021, OMI coin reached its all-time high (ATH) of $0.013, coinciding with a surge in NFT sales activity. Analysis of market trends indicates a strong relationship between the OMI token and the overall interest in NFTs and digital collectibles. As VeVe strives to become a viable alternative to physical art galleries and vaults, it offers customizable virtual showrooms reminiscent of video games. The platform’s Augmented Reality feature allows users to creatively manipulate their digital collectibles using their mobile devices. This includes importing NFTs, adjusting their size and orientation, and capturing unique imagery of their collection for trading with others. VeVe appears poised to attract a broad audience, suggesting that the OMI token will gain increased traction over time, particularly among tech-savvy, crypto-friendly younger demographics. However, potential investors should exercise caution, as the investment landscape remains volatile.
Assessing the ECOMI Ecosystem
For those engaged in NFT marketplaces, the VeVe platform stands out as a leader, boasting advanced features and partnerships with prominent comic and superhero brands. The OMI token is likely to benefit from the anticipated growth of VeVe’s popularity. Nonetheless, it is crucial to acknowledge that NFTs have not maintained the same level of excitement as they did during the early crypto boom. Competing narratives, such as artificial intelligence and meme coins, have overshadowed non-fungible assets. Given that the ECOMI ecosystem’s success is closely tied to the NFT market, OMI may need to await a resurgence of interest in this innovative asset class.
Frequently Asked Questions
When users conduct transactions involving the purchase, sale, or trade of digital collectibles on the VeVe platform, the OMI token serves as the medium of exchange. Additionally, OMI ensures that there is a secure and immutable record of ownership for digital collectibles. OMI is the native cryptocurrency of ECOMI, a blockchain platform that empowers users to buy, store, and collect licensed digital collectibles. This asset class offers intellectual property owners new revenue avenues in the digital realm. With a substantial global user base, ECOMI had aimed to finalize the transition of its platform to Ethereum’s Layer-2 Immutable X protocol by the end of January, but those plans were abruptly interrupted. Furthermore, the OMI token was initially based on the GoChain blockchain as a GO-20 token.
