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Domain Name Freeze

Why is there a delay in the processing of new gTLDs for auction on registrar’s websites? If a domain name can be listed, as an auction-able item – on a registrar’s website – then why is it not possible for it to be featured as a premium domain name on the same portal?

The answer is that there is a monopoly on the new extensions by the registries creating the new gTLDs. Is this a conspiracy between registries and registrar’s to hike up or maintain the constant increase of the cost of new gTLDs? Perhaps there is a combined effort, albeit though not a conspiracy, as such. While a domain name owner cannot list their domain for sale as premium domain, this same gTLD is functioning as a super extension that can be sold with accompanying domains for a high yield price.

Many of the new gTLDs are not only not listed for a set period of time (not publicized or for public knowledge) as premium domain listings, but they are also not list-able at regular auction on registrar’s websites. There are alternative options such as mainstream and unrelated independent domain name auction websites, such as a division of,, and

These independent auction websites (not directly connected with a registry or registrar) allow for listing of domain names, be they new gTLDs or well established existing domains. They charge a commission, of course, for use of their technology / auction portal to list a domain name. In some case there can be so-called success fees, which will accompany a seemingly standard commission fee. A success fee is an additional amount that is billed to the domain name owner who lists the domain name for auction / sale. The success fee is due to be paid when a domain name sells in a set time. This a kind perk that a domain auction website bestows upon itself to be paid courtesy of the domain name owner. Another fee that can detract from the sale amount is a percentage of the sale to be paid – not to the auction house / brokerage – to the second highest bidder. This novelty percentage amount is a consolation prize that is publicized throughout the auction period. In addition to being a reward for the second highest bidder, it is meant constantly increase the perceived value of the domain and foster high yield bids amongst contenders for ownership of the domain name.

A domain name can also be offered for sale at fixed price generally and at a fixed buy now price. Even during an auction a domain name – in addition to having a minimum price for sale, which is known as a reserve – can be purchased at the buy now price set price. Potential buyers can also – on some domain name auction website – make an offer for a desired domain name.

Upon the successful sale of a domain name done – through an unaffiliated domain name auction website – payment will be likely be processed through what is termed as Escrow. This is a process whereby the domain will not be immediately transferred to the seemingly successful purchaser. Instead the payment will be held and its source will be verified and evaluated for a set time period (usually between five and ten days on the average). Once it is determined that the funds were paid and sent through a legitimate source, and that the funds are rightly those of the buyer, then the domain is processed for transfer. Usually a domain name is released by the owner and the owner or the owners’ agent / broker will transfer the domain name through and from the registrar where the domain name was purchase and hosted (the website associated with the domain name may be hosted elsewhere made possible by a process known as forwarding of name servers). A pass code / password to unlock the domain name will likely accompany a congratulatory letter / email that will be sent from the domain owner to the domain name purchaser. This code will need to be input in the DNS arena of the domain name to unlock it once the domain name ownership has actually been transferred into the buyer’s name.

This entire system can be quite complex. In addition to verifying that the domain name is not copyrighted, trademarked or otherwise encumbered / restricted for usage there is the bidding and acquisition process noted above. A wise domainer / domain name purchaser may do well to enlist / hire a capable Intellectual Property Lawyer for domain name transactions of any kind / type. One will likely be perturbed to find out / realize that a domain name is not usable because it is trademark. Imagine discovering this oddity after buying a theme or hiring a Web Developer / Web Designer to construct / design and market a website online. It is perhaps better to hire a competent professional in this highly specialized high-tech realm and pay a fee upfront, rather than to have majorly excessive costs after going through the entire proposed scenario.










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