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InternetNZ says sorry for “institutional racism”

Kevin Murphy, December 2, 2022, Domain Registries

New Zealand ccTLD registry InternetNZ has apologized for its “institutional racism” following a probe instigated by its reaction to a YouTube video last year that incited violence against Māori citizens.

“We acknowledge that InternetNZ has institutional racism built into our culture and structures. These systems, and the way people have acted within them, have caused harm to Te Ao Māori,” the company said in a statement last week.

“We unreservedly apologise for the harm to Te Ao Māori [the Māori world],” it added. “We know that from here, it is our actions that will right these wrongs.”

The apology follows the publication of a report into current and historical structural racism at the company by Māori language advocate Hana O’Regan, commissioned by the InternetNZ Council last year.

The review was ordered after two council members, both Māori women, resigned in protest at InternetNZ’s inaction when a masked individual reportedly uploaded a video to YouTube encouraging the massacre of Māori people.

It seems many believed InternetNZ should have publicly condemned the video, which stayed online for more than a day, as well as used its political clout to encourage YouTube to delete it.

The company apologized a few days later, saying it had not wanted to inadvertently draw attention to the video, perhaps inflaming matters, but said that was with hindsight the wrong call.

O’Regan’s report is more wide-ranging than the 2021 incident, however, delving back into InternetNZ’s roots in the mid-1990s and finding long-term resistance to the asks of the Māori people.

Māori had to struggle to get the second-level domain maori.nz created, while geek.nz sailed through approval, the report says. There was also resistance to enabling internationalized domain names, which would allow the macro diacritic used in the Māori language, it says.

The report also criticized InternetNZ’s decision-making structure as failing to embrace Māori cultural practices, and its membership for failing to be sufficiently diverse.

The company says it has in the last year or so appointed a C-level Māori cultural advisor and created a committee to advise on Māori matters. It is also working on a “comprehensive action plan” it intends to publish early next year.

The 35-page report can be found here (pdf). It’s written for a domestic audience, so if you’re not Kiwi, you’ll probably need Google Translate to follow it. And if you’re an American conservative, it’ll probably pop all your aneurysms at once.

New new gTLD registry in town as Rostam buys UNR

Kevin Murphy, December 1, 2022, Domain Registries

UNR, the former Uniregistry, has emerged under new ownership, new leadership, and with another new name, apparently finalizing Frank Schilling’s piecemeal exit from the domain name industry.

The nine gTLD contracts remaining with UNR following its fire-sale auction 18 months ago are now owned by Internet Naming Company, which like UNR is based in Grand Cayman.

The new company, which appears to be a continuation of UNR yet promising a “clean slate”, is owned and run by Shayan Rostam, who was UNR’s chief growth officer and previously worked for XYZ.com and Intercap.

INC’s portfolio comprises .click, .country, .help, .forum, .hiv, .love, .property, .sexy, and the unlaunched .trust, which together have over 350,000 registered domains.

Registry-recommended retail pricing varies wildly between TLDs, from the .com-competitive, such as .click at $9.99, to the wallet-busting, such as .sexy at $2,999 and .forum at $1,199.

INC is also offering consulting, auction and management services for other TLDs, including dot-brands.

The emergence of INC means we now know where all 23 of the gTLDs UNR auctioned off last year ended up. XYZ.com wound up with 10, with GoDaddy, Top Level Design, Nova Registry and Dot Hip Hop all grabbing one or two each.

UNR sold its registrar business to GoDaddy and its registry back-end business to Tucows (which is supporting INC’s portfolio) last year, giving INC the ability to talk about going “back to basics”, unencumbered by any conflicts of interest.

The new company is using inaming.co for its web site. The individual TLDs’ sites still use UNR landing pages.

Verisign growth slows with post-Covid blues

Kevin Murphy, October 31, 2022, Domain Registries

Verisign sold fewer .com and .net domains than it did a year ago in the third quarter and has once again slashed its outlook for the year.

It had 174.2 million names across the two TLDs at the end of September, an increase of 1.2% over the year but down by around 100,000 names (rounded) on the quarter.

There were 9.9 million new domains sold. That compares to 10.1 million in the second quarter and 10.7 million in Q3 last year.

It now expects its total domains under management to increase by between 0.25% and 1% for the full year. That compares to the between 0.5% and 1.5% it predicted at the end of Q2, the 1.75% and 3.5% predicted in April, and the between 2.5% and 4.5% it predicted in February.

That equates to 2022 revenue of $1.418 billion to $1.426 billion, CFO George Kilguss told analysts. Verisign’s always jaw-dropping operating margin is expected to be between 65.75% and 66.25%.

CEO Jim Bidzos told analysts the slower growth can the attributed to the general macroeconomic malaise, Verisign coming off the lockdown bump experienced in 2020 and 2021, and the perennial issue of Chinese lumpiness.

Renewal rates for Q3 are expected to be 73.8%, the same as Q2 but down from 75% a year-ago.

But the company continues to make money hand over fist. Revenue was up 6.8% compared to Q3 last year at $357 million and net income was up to $169 million compared to $157 million a year ago.

Unstoppable Domains stops over 116,000 domains as alt-root TLD goes dark

Kevin Murphy, October 20, 2022, Domain Registries

Blockchain alt-root provider Unstoppable Domains has taken a huge credibility hit with its decision to essentially turn off one of its TLDs, rendering over 116,000 domains pretty much useless.

Unstoppable said Tuesday that it has stopped selling .coin domains and would immediately stop supporting their resolution. The names would no longer work with the over 500 cryptocurrency wallets, apps and services that integrate with Unstoppable, the company said.

“As of today, we’ve disabled .coin resolution in our libraries and services. Unstoppable domains are self-custodied NFTs, so you still own your .coin domain, but it won’t work with our resolution services or integrations,” Unstoppable said in a blog post.

According to AltRoots.com, there were almost 117,000 .coin domains at the time they were turned off.

That’s about the same size as Identity Digital’s .email gTLD, and the shutdown is the equivalent of ID telling its registrants that they can keep their domains, but it’s deleting the .email zone file.

The decision drew immediate critical reaction on social media, with many users pointing out that the Unstoppable system doesn’t sound particularly “decentralized” or censorship-resistant any more.

“Doesn’t sound too decentralized or empowering. Hopefully this will wake people up,” one Twitter user wrote.

“So many people literally just had to change their identity due to incompetency. Basically like visa saying you can keep the card but it wont work anywhere anymore,” wrote another.

Users also criticized the company’s decision to offer compensation in the form of store credit — three times what they paid for the domains they return — instead of a cash refund.

Unstoppable said the decision was made after it discovered another blockchain project, Emercoin, has been selling .coin domains since 2014, whereas its own .coin was launched in 2021.

“We’re committed to protecting our customers from the risk of functional collision,” Unstoppable said. “The Emercoin team are pioneers in our industry and we regret that we weren’t aware of this naming collision earlier.”

Name collisions are of course a big deal in the regular DNS, but cohesion around a single consensus root allows risk to be managed and mitigated, as we saw in ICANN’s 2012 new gTLD roll-out.

And in the ICANN system, a TLD would not simply be shut off overnight. Rather, it would transition to an emergency back-end operator for three years until it is either taken over by another permanent registry or wound down in an orderly fashion.

As Domain Name Wire notes, Unstoppable is currently trying to get the operator of a competing .wallet blockchain alt-root TLD shut down in court on the basis of the name collision, and it would have been hypocritical to continue offering its own colliding TLD.

CentralNic expects to blow past revenue estimates

Kevin Murphy, October 18, 2022, Domain Registries

CentralNic has updated its financial projections for the year, saying it expects to “materially exceed” the current analysts’ estimates.

The London-listed company expects to next month report revenue for the nine months to September 30 up 86% at $525 million and adjusted EBITDA of “at least” $61 million, up 89% compared to last year.

That’s just for three quarters. The latest analyst consensus estimate was for revenue of $626.6 million and EBITDA of $72.5 million for the entire year, the company said.

Twelve-month organic growth, excluding the effect of acquisitions, to September 30 is estimated at 66%.

CentralNic said growth is being “driven predominantly by the growth of the Online Marketing Segment, which continues to win market share as a result of the ever-increasing demand for online customer acquisition services that are privacy-safe.”

.au adds 100,000 names in days after 2LD floodgates open

Kevin Murphy, October 10, 2022, Domain Registries

The Australian ccTLD, .au, added over 100,000 domain registrations in just a couple of days after restrictions were lifted on second-level names last week.

Local registry auDA is currently reporting 4,109,218 registered names (second and third-level combined), compared to 4,003,804 at the start of the month.

My records show that about 90,000 names were added in the day after unclaimed 2LDs were released back into the available pool after a six-month grandfathering period in which only matching 3LD owners could register.

.au had 3.4 million domains under management in late March, when auDA first started selling 2LDs.

At AUD 7.83 ($5) a year wholesale, the expansion seems to have netted auDA an extra recurring $3 million at least, of which back-end operator Identity Digital will also claim a slice.

Registry launches Ukrainian domains for Russian-occupied region

Kevin Murphy, October 10, 2022, Domain Registries

A Ukrainian registry has started offering domains in a second-level Ukrainian transliteration of a Russia-occupied region.

Southern Ukrainian Network Information Center started offering residents of the Mykolaiv oblast domains at the third-level under mykolaiv.ua at the start of October, according to the registry’s web site.

Mykolaiv is the Ukrainian version of the original Cyrillic name. Previously, domains were only available under the Russian transliteration, .nikolaev.ua. SUNIC also offers the shorter .mk.ua domain.

Mykolaiv, in the battle-scarred south of the country, is also the name of the region’s capital city. While the city has resisted Russian capture, much of the region has been under the invading force’s control since early in the war.

SUNIC, which also offers odessa.ua (Russian) and odesa.ua (Ukrainian) names for the Odesa region and city, is encouraging .nikolaev.ua registrants to acquire their matching mykolaiv.ua names.

Adopting Ukrainian transliterations of Cyrillic place names has been seen as a symbolic act of defiance against Russian ambitions.

DNSSEC claims another ccTLD victim

Kevin Murphy, October 10, 2022, Domain Registries

A botched DNSSEC upgrade has been fingered as the source of an outage that made .na domain names inaccessible last Tuesday.

Reports and archived DNS records show that names in the Namibian ccTLD suffered as many as 12 hours of downtime following the glitch, which has been blamed on human error.

When DNSSEC-signed domains, including TLDs, are unable to establish a cryptographic chain of trust, anyone using a DNSSEC-compatible resolver will be unable to access web sites or emails of affected domains.

Namibian Network Information Center boss Eberhard Lisse, talking to The Namibian newspaper, blamed the downtime on an unspecified upstream provider pushing an algorithm upgrade “without all prerequisite steps having been completed”.

It’s the second DNSSEC incident to hit .na following a July 2019 glitch, and one of dozens to affect TLDs since the technology started to become more broadly adopted.

Taliban seizing domains to silence journalists

Kevin Murphy, October 5, 2022, Domain Registries

The Taliban is attempting to close down independent media outlets in Afghanistan by deleting their .af domain names.

The Ministry of Communications and Information Technology tweeted that the sites of Hasht-e Subh Daily and Zawia News were “taken down” for publishing “unbalanced reports and fake news”.

.af’s registry is government-run.

According to the Committee to Protect Journalists, the two sites have been reporting by Afghans in exile since the Taliban retook the country over a year ago.

Both outlets have now switched domains to TLDs based in the US — Verisign and Identity Digital, where presumably they’re pretty safe from the Taliban’s reach. They’re now using zawiamedia.com and 8am.media instead of the original .af names.

McCarthy wins Nominet director election

Kevin Murphy, October 5, 2022, Domain Registries

Kieren McCarthy, the former reporter who has spent much of his career bashing .uk registry Nominet in the pages of The Register, has been elected to its board of directors following a sometimes fractious campaign.

He won despite placing second to lawyer Jim Davies in the first round of voting, which saw CentralNic lawyer Volker Greimann eliminated. The vast majority of Greimann’s votes transferred to McCarthy in the second round. The results can be found here (pdf).

Turnout was a miserable 15.1%, almost 10 percentage points lower than it was in last year’s non-executive director election.

McCarthy is executive director of the International Foundation For Online Responsibility, the non-profit set up by .xxx registry ICM to hack around ICANN’s rules and give the illusion of legitimacy in the 2003 “sponsored” gTLD application round.

As such, he’s paid indirectly by GoDaddy, ICM’s current owner, which can’t have hurt his prospects in the election but GoDaddy says it did not vote in the election. Under Nominet’s controversial voting system, larger registrars get more votes, capped at 3% of the total.

With McCarthy standing on a platform of increased transparency, some Nominet members had pointed out the irony that IFFOR hadn’t published any board minutes in several years. He also faced criticism for using Nominet’s logo, apparently without permission, in his election mailshots.

McCarthy replaces Anne Taylor, whose three-year term is up.