New cybersquatting business: domains on trial
The five-day grace period Add Grace Period (AGP) was originally invented in order to avoid erroneous registrations. But automated cybersquatting software specifically uses this function, and businessmen of the new generation earn a lot of money, writes AP .
This practice appeared a couple of years ago, when .com domains began to take shape very quickly thanks to automation. For comparison, in December 2004, the refusal of 7400 domains, taken “on trial”, was made out every day. In December 2006, their number increased to 1.2 million (Statistics Name Intelligence Inc. ). The proportion of normal registrations fell from 50% to 2%.
Scrolling millions of domains through AGP is a completely legal exercise. According to experts , from 25 to 30 companies are engaged in such business, including, for example, Moniker Online Services , Maltuzi and Wang Lee Domains. They use a special software that automatically registers hundreds and thousands of domains per minute.
For five days, which the domain is dominated by a cybersquatter, it places contextual advertising on it, so that comes with additional income. Advertising for parked domains is provided by the best friends of cybersquatters, Google AdSense for Domains and Yahoo Domain Match services. If the domain is able to recoup its maintenance costs ($ 6 per year), then it is left. Some domains can be resold to copyright holders (cybersquatting classics). The rest is thrown on the fourth or fifth day in order to return the registration fee. Liberated domains instantly become the prey of other cybersquatters (or the same ones - the technique of repeated instant domain capture is called “kiting”). The process is automated: the machine for pumping out money works without interruption.
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The registrars are extremely dissatisfied with the state of affairs ( an open letter from the GoDaddy director on this topic ), because the income from the parking of the domains could go to them. VeriSign is silent, ICANN is studying the problem. Critics argue that both VeriSign and ICANN benefit from the status quo. For example, VeriSign offers corporate clients a service of absolute protection against cybersquatters: such pleasure costs from $ 100 thousand to $ 400 thousand per year. In addition, cybersquatting money (collateral for domains) is stored on VeriSign accounts. According to independent estimates, the amount ranges from $ 25 million to $ 30 million.
At this time, spammers, phishers, and other scammers are also beginning to use "domains for a few days" as a source of secure temporary web addresses.
This practice appeared a couple of years ago, when .com domains began to take shape very quickly thanks to automation. For comparison, in December 2004, the refusal of 7400 domains, taken “on trial”, was made out every day. In December 2006, their number increased to 1.2 million (Statistics Name Intelligence Inc. ). The proportion of normal registrations fell from 50% to 2%.
Scrolling millions of domains through AGP is a completely legal exercise. According to experts , from 25 to 30 companies are engaged in such business, including, for example, Moniker Online Services , Maltuzi and Wang Lee Domains. They use a special software that automatically registers hundreds and thousands of domains per minute.
For five days, which the domain is dominated by a cybersquatter, it places contextual advertising on it, so that comes with additional income. Advertising for parked domains is provided by the best friends of cybersquatters, Google AdSense for Domains and Yahoo Domain Match services. If the domain is able to recoup its maintenance costs ($ 6 per year), then it is left. Some domains can be resold to copyright holders (cybersquatting classics). The rest is thrown on the fourth or fifth day in order to return the registration fee. Liberated domains instantly become the prey of other cybersquatters (or the same ones - the technique of repeated instant domain capture is called “kiting”). The process is automated: the machine for pumping out money works without interruption.
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The registrars are extremely dissatisfied with the state of affairs ( an open letter from the GoDaddy director on this topic ), because the income from the parking of the domains could go to them. VeriSign is silent, ICANN is studying the problem. Critics argue that both VeriSign and ICANN benefit from the status quo. For example, VeriSign offers corporate clients a service of absolute protection against cybersquatters: such pleasure costs from $ 100 thousand to $ 400 thousand per year. In addition, cybersquatting money (collateral for domains) is stored on VeriSign accounts. According to independent estimates, the amount ranges from $ 25 million to $ 30 million.
At this time, spammers, phishers, and other scammers are also beginning to use "domains for a few days" as a source of secure temporary web addresses.
Source: https://habr.com/ru/post/5059/
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