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nickel.com sells for a hell of a lot more than a nickel

Kevin Murphy, August 16, 2022, Domain Sales

The domain name nickel.com has sold to a mining company for roughly $250,000.

Flying Nickel Mining, listed on the Toronto stock exchange, purchased the name at some point in the first half of the year for CAD 313,977, according to a regulatory filing from its parent, Silver Elephant Mining.

“During the six months ended June 30, 2022 Flying Nickel purchased a domain name nickel.com at $313,977,” the filing reads.

That works out to about $243,000 at today’s exchange rate, but one assumes it was probably priced at $250,000 at the time of the sale.

Flying Nickel mines nickel. Silver Elephant mines silver. The former was spun out of the latter earlier this year and has its own stock market listing.

Another Silver Elephant spin-out, Nevada Vanadium, bought vanadium.com for CAD 23,461 during the same period. Vanadium is another type of metal, albeit one with substantially less name recognition than nickel.

Flying Nickel is still using flynickel.com as its primary domain, but nickel.com already mirrors the original site.

Before the sale, the domain was parked at GoDaddy, archive.org shows.

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German motoring club dot-brand crashes out

Kevin Murphy, August 16, 2022, Domain Registries

Europe’s largest motoring club has become the latest organization to ask ICANN to tear up its dot-brand Registry Agreement.

The Allgemeiner Deutscher Automobil-Club, which has about 21 million members, has told ICANN it no longer wishes to run .adac. As usual, no explanation was provided.

The gTLD was in use — ADAC currently has a few live non-redirecting sites, including blog.adac and presse.adac. Its primary domain is adac.de.

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Verisign to crack down on Chinese domains

Kevin Murphy, August 15, 2022, Domain Registries

Verisign has asked for permission to implement a more stringent regime for denying or suspending .com and .net domain names registered in China, to comply with the country’s strict licensing rules.

The changes appear to mean that customers of Chinese registrars who have not verified their identities, which Verisign says is a “very small percentage”, will be prevented from registering new domains and may lose their existing domains.

The company has filed a Registry Services Evaluation Process request with ICANN, proposing to tweak the registrant verification system it has had in place for the last five years in a few significant ways.

China has a system called Real Name Verification, whereby Chinese citizens have to provide government-issued ID when they register domains. Local, third-party Verification Service Providers such as ZDNS typically carry out the verification function for Verisign and other foreign registries.

The big change is that Verisign will no longer allow names to be registered without a valid code.

The RSEP says that attempts by China-based registrars to register domains without the required government verification code will result in the EPP create command failing, meaning the domain will not be registered.

Under the current system, outlined in a 2016 RSEP (pdf), the name is registered and Verisign presumably takes the money, but the domain is placed on serverHold status, meaning it is not published in the zone and will not resolve.

The new system will also allow Verisign to retroactively demand codes for already-registered names, when they come up for renewal or transfer, with the option to suspend or delete the names if the codes are not provided. The RSEP (pdf) states:

With regard existing domain names without the required verification codes, which currently comprise a very small percentage of domain name registrations from registrars licensed to operate in the People’s Republic of China, Verisign intends to address compliance issues with these domain names directly with registrars. Verisign reserves the right to deny, cancel, redirect or transfer any domain name registration or transaction, or place any domain name(s) on registry lock, hold or similar status

It’s not clear what a “very small percentage” means in hard numbers. A small slice of a big pie is still a mouthful.

Verisign has substantial exposure to the Chinese market. On the odd occasion when .com shrinks, it’s largely due to speculative registrations from China not being renewed, such as in the second quarter this year.

The RSEP names the service the Domain Name Registration Validation Per Applicable Law service. While it’s in theory applicable to any jurisdiction’s laws, in practice it’s all about addressing the demands of the Chinese government.

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Whois Disclosure System likely over a year away

Kevin Murphy, August 12, 2022, Domain Registrars

ICANN lifted the curtain a little on its fetal Whois Disclosure System this week, but the news is not good if you’re champing at the bit for a usable system for requesting private Whois data from registrars.

The system, formerly referred to as SSAD Lite, will take “seven to nine months” to develop after ICANN staff gets the green light from its board, staffers told a small GNSO volunteer working group on a Wednesday conference call.

That timetable assumes the staffers working on it are 100% devoted to developing the system, rather than sharing their time between competing projects, they quickly clarified.

This raises the specter of months-long delays to the other big, already-delayed, ICANN work-in-progress — the next new gTLD application round.

The responsible staffers plan to publish a design document for the Whois Disclosure System around ICANN 75 next month, but whether the board will give its immediate approval is not clear.

We’re probably looking at at least a year before there’s a system in place that IP lawyers, security researchers and the like can log into, request data, and be disappointed.

And that’s despite the fact that the system will be built using existing technology — namely the CZDS or Centralized Zone Data Service, which has be in use for many years allowing people to request zone files from gTLD registries.

During this week’s webinar, staffers described how, like CZDS, there will be two user interfaces: one for the data requester, one for the data holder. The system will simply act as an intermediary between the two.

It will use ICANN’s existing accounts system, so there will be no user vetting beyond email address verification. There’ll be no integration with registrars’ existing ticketing systems, and any communications between registrar and requester will have to take place via email.

There’ll also be no billing function, because the system will be free to use by all parties and completely voluntary. While registrars are contractually bound to respond to Whois data requests, there’s no such obligation to use the Whois Disclosure System to do so.

Staffers admitted on the call that they’re a bit stumped about how to encourage registrars to sign up when the system goes live.

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Belgium slashes its ICANN funding in “mission creep” protest

Kevin Murphy, August 12, 2022, Domain Policy

DNS Belgium has cut its contribution to ICANN’s budget by two thirds, in protest at ICANN’s “mission creep” and its handling of GDPR.

The Belgian ccTLD registry informed ICANN CFO Xavier Calvez that it will only pay $25,000 this fiscal year, compared to the $75,000 it usually pays.

Registry general manager Philip Du Bois wrote (pdf) that “during recent years there has been a shift in focus which is not in the benefit of ccTLD’s”.

ICANN has become a large corporate structure with a tendency to suffer from “mission creep”… At the same time ICANN seems to fail in dealing in an appropriate way with important issues such as GDPR/privacy. It goes beyond our comprehension that ICANN and its officers don’t feel any reluctancy to “advise” European institutions and national governmental bodies to embrace “standards developed by the multi-stakeholder structures on international level” while at the same time it is obvious that ICANN itself has not yet mastered the implementation of important European legislation.

Based in the heart of the EU, DNS Belgium was a strong proponent of Whois privacy many years before the GDPR came into effect in 2018.

Calvez, in his reply (pdf), acknowledges that ccTLD contributions are voluntary, but seems to insinuate (call me a cynic) that the criticisms are hollow and that the registry might simply be trying to reduce its costs during an economic downturn:

We do appreciate any amount of contribution, and also that the ability for any ccTLD to contribute varies over time, including based on economic circumstances. We do understand that the reduction of DNS Belgium’s contribution from US$75,000 to US$25,000 represents a significant and meaningful reduction of costs for DNS Belgium.

DNS Belgium seems to be doing okay, based on its latest annual financial report. It’s not a huge company, but registrations and revenue have been growing at a slow and steady rate for the last several years.

All ccTLD contributions to ICANN are voluntary, but there are suggested donations based on how many domains a registry has under management, ranging from the $225,000 paid by the likes of the UK registry to the $500 paid by the likes of Pitcairn.

DNS Belgium, which manages about 1.7 million names, falls into the third-highest band, with a $75,000 suggested contribution.

ICANN is budgeting for funding of $152 million in its current FY23.

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Diversity takes a hit as NomCom replaces two ICANN directors with newcomers

Kevin Murphy, August 12, 2022, Domain Policy

ICANN will be left with fewer women and Africans on its board of directors following this year’s Nominating Committee selections, after which apparent community newcomers will take seats.

NomCom last night announced that its three picks for the board, due to take or retake their seats at the Annual General Meeting in Kuala Lumpur next month, are Maarten Botterman, Christopher Chapman and Sajidur Rahman.

Botterman is of course the current chair, and his reappointment was surely never in any doubt. He’ll be entering his third and final term at the AGM.

Less is known about the two newcomers. ICANN has so far provided no biographical information about them beyond the geographic region they represent. Botterman is European and both Chapman and Rahman are from Asia-Pacific.

Both new appointees have very common, google-resistant names, and neither appears to have a track record of vocal ICANN community participation.

Chapman, if I had to guess, would be Chris Chapman, the former long-term independent media regulator from Australia. Sajid Rahman is such a common name I don’t think I could confidently make a call on his identity early doors.

What we do know is that they’re both Asia-Pac, and they’re both replacing one-term African directors.

Leaving the board at the AGM will be NomCom’s 2019 picks Mandla Msimang from South Africa and Ihab Osman from Sudan. This means the sole remaining voting African on the board come October will be South African Alan Barrett.

Msimang leaving and being replaced by a man of course changes the gender mix. After the AGM, there will be six women on the 20-seat board, five out of the 16 voting seats.

Note that I’m not analyzing the picks by some subjective “woke” criteria — ICANN has strict rules about geographic representation in its bylaws and every year its board of directors encourages NomCom to consider the gender mix when making its selections.

The bylaws state that each of the five geographic regions must have at least one seat on the board, and that no one region can have more than five directors.

That said, ICANN doesn’t make it easy to figure out which directors hail from which regions. There’s no published breakdown that I’m aware of and many directors have multiple citizenships and/or are long-term residents of nations outside their birth region.

Two other directors have their current terms ending next month — GNSO appointee Becky Burr (North America), who has been reappointed for a third term, and Akinori Maemura (Asia-Pac) who is being replaced by Christian Kaufmann (Europe) as an ASO appointee.

NomCom broke down the gender and geographic mix of applicants for all the open board and non-board positions here.

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RDNH loser files second appeal

Kevin Murphy, August 11, 2022, Domain Policy

A big drug company has appealed to ICANN for a second time over a Reverse Domain Name Hijacking ruling against it, claiming ICANN should be responsible for the decisions of the World Intellectual Property Organization.

India-based Zydus Lifesciences, which among other things makes Covid-19 vaccines, lost a UDRP complaint against the owner of zydus.com in June. To add insult to injury, WIPO made a RDNH finding against it.

Rather that go to court, Zydus filed a Request for Reconsideration with ICANN in July, but this was summarily dismissed because the Reconsideration mechanism only applies to the actions or inactions of the ICANN board or staff.

Now Zydus has filed a second RfR, in which its lawyers claim ICANN is responsible for WIPO’s UDRP decisions and failure to address the first RfR amounts to board inaction. The latest claim states:

when a dispute resolution service provider is accredited by ICANN to conduct mandatory administrative policy, as prescribed by the UDRP adopted by ICANN, such service providers are extension of ICANN itself

Zydus claims the WIPO panel erred by relying on what it claims were false and misleading statements by the zydus.com registrant. It wants the decision reversed and the three panelists forever barred.

I doubt the RfR will get anywhere. ICANN’s Board Accountability Mechanisms Committee is not about to make itself the de facto court of appeals for every UDRP party who thinks they got stiffed.

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Group crowdfunding crypto to apply to ICANN for blockchain gTLD

Kevin Murphy, August 11, 2022, Domain Registries

Do we have our first confirmed blockchain-themed new gTLD application? Looks like it.

A group of pseudonymous individuals have announced plans to apply to ICANN for .dao in the next round, and are currently crowdfunding the project by asking for donations in the Ethereum cryptocurrency.

Going by the name DomainDAO, they say they’ve raised 230 ETH so far, which appears to be worth over $430,000 at today’s rates, already probably enough for a bare-bones new gTLD application.

They want to apply for .dao, an acronym for “decentralized autonomous organization”, a type of entity where token-owning participants set the direction of the DAO via rules laid down in software and votes encoded into a blockchain.

DomainDAO’s web site takes a few pops at the likes of Verisign and Identity Digital owner Ethos Capital for alleged unethical practices and says the goal is for .dao to one day “supersede” .com.

The concept differs from other blockchain-based TLD projects, such as Unstoppable Domains, in that it’s not alt-root. The plan is to apply to ICANN to get into the authoritative, consensus DNS root, so that .dao domains can be used by all.

Unstoppable already runs .dao in its own alt-root, selling domains for $20, and has recently proven litigious when it smells a collision from a competing project.

But the main roadblock to the root may well be ICANN itself.

While the rules governing the next round of gTLD applications are not yet set in stone, it strikes me as incredibly unlikely that ICANN will entertain a bid from an applicant that is not a recognized legal entity with a named board of directors that can be subjected to background screening.

DomainDAO is itself a DAO, and the DAO concept is reportedly prone to corruption and hacking, which could make ICANN nervous.

In addition, people funding DomainDAO today are offered crypto tokens that can be redeemed for second-level domains if the TLD eventually goes live — it’s essentially already selling pre-registrations — which could interfere with rights protection mechanisms, depending on implementation.

But DomainDAO claims to have an industry Greybeard on the payroll, a senior advisor going by the handle “Speech-less”, an “Executive with 20+ years experience in domain and ICANN”.

If that’s you, we probably already know each other. Why not get in touch to tell me why this thing is going to work?

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Buyer “phasing out” domain “bought for $2.2 million”

Kevin Murphy, August 10, 2022, Domain Sales

The domain name coupons.com, which was acquired for a reported $2.2 million over two decades ago, is being phased out by its purchaser.

The dot-com-boom-era company, which changed its named from Coupons.com to Quotient Technology in 2015, has said in recent earnings calls and regulatory filings that it plans to deemphasize its old brand in favor of newer ones.

The company started out as a print-at-home discount coupons player, but in recent years has moved into digital as paper coupons fell out of fashion in favor of cash-back promotions and mobile apps.

Even in light of the current global inflation crisis, which one would expect would fuel demand for cheaper food and products, the company is struggling as retailers are also feeling the pinch.

In a Securities and Exchange Commission filing this week, Quotient said: “We are phasing out our use of the coupons.com domain, which we will replace with our Shopmium cash-back mobile app.”

The company acquired the domain in 2000.

Namebio reports the price as $2.2 million, which would have made it the third most-expensive domain ever at the time, though this was later disputed by CEO Steven Boal in a 2011 interview with podcaster Michael Cyger. Boal appeared to confirm it was a seven-figure deal, however.

Quotient’s SEC filings have for some years listed a $0.4 million domain on its balance sheet, but it’s not clear whether this is coupons.com or something else.

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ShortDot drops premium fees on millions of domains

Kevin Murphy, August 10, 2022, Domain Registries

New gTLD registry ShortDot says it is making 2.4 million “premium” domains available at its standard registry fee.

From September 1, domains across .bond, .cfd, .icu, .cyou and .sbs will no longer have premium renewals.

The company said that “first and last names, city names, dictionary terms, and more” will return to standard prices, but it appears that it’s the mainly lower-tier inventory, where retail prices can be currently as low as $15 a year, being released.

Judging by the list, it appears that the vast majority of domains are four-character LLLL strings and three, four and five-digit numerics (including US zip codes).

Some geographic names representing low-population areas are on the list, while larger, more well-known cities do not appear to be.

A full spreadsheet of the names can be downloaded from Dropbox here.

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