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DNS Stressed From Financial Maneuverings

jcatcw writes "The Domain Name System is showing signs of being out of control. Automated software systems are being used to re-register large batches of expired domain names. In addition, speculators are using a loophole in the registration process that lets domains be tested for their potential profitability as pay-per-click advertising sites during a free five-day "tasting" period."

19 of 196 comments (clear)

  1. Timely! by Southpaw018 · · Score: 4, Interesting

    This actually just happened to my organization two weeks ago. A .com version of one of the .org names we hold was expiring, and we did the backorder thing with Godaddy to try to acquire it since there's really no other way to even have a remote chance at an expiring name.

    We got a notice that the name was re registered within a few seconds of its release, and Godaddy had not acquired it on our behalf. The backorder thing also came with monitoring service that notifies us of any changes to the domain's whois.

    Three days later, I received a notification that the domain's whois had changed again. I figured the new owners were setting it up for their use, but instead it was changed to my info. We suddenly had the name in our account.

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  2. Cybersquatting Search Tool by Graham+MacRobie · · Score: 5, Interesting

    Here is a slick, free typosquatting search tool that lets you find and explore the kind of problematic domains mentioned in the article. Try playing with the various search options - it's addictive. For instance, there are 141 registered domains that contain the word "slashdot", and 199 more that are a one-character misspelling of "slashdot". That's within just 4 TLDs.

    The firm also offers a novel service that allows companies to recover lost traffic without necessarily filing lots of lawsuits.

    Full disclosure - I am CitizenHawk's president. That being said, I can say we are intimately involved in tracking DNS updates daily - and I agree. Tasting is a serious problem that threatens to push the DNS system beyond its limits.

  3. Well maybe its *GASP* Time for Reform by scenestar · · Score: 2, Interesting

    What if they applied the same rules to domains as RIPE uses to give out IP adresses. Basicly the first batch is given out no questions asked. After that you can still get extra ones as long as you can prove you use them for a legitimate reason.

    Sure it might sound restrictive, but with bots drop catching domains with brute forcing techniques it could weed out the worst of abuse.

    --
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  4. Re: Why is this news? by beckerist · · Score: 3, Interesting

    2 examples, both were websites I used to own:
    allpopcorn.com
    scientistscanvas.com

    Both sites I owned, ran, updated...the problem is, I never had "automatically renew" (see: automatically charge my credit card) turned on. Both sites expired one January afternoon, and before that Friday (my payday), they were both picked up by link farms. ALSO, keep in mind I used Yahoo! Domains (now Yahoo! Small Business) for these sites. Now, I use GoDaddy, which will keep a temporary hold on them to allow for my renewal (which Yahoo! never did.) If anyone can get me these sites back (without having to pay the hundreds of dollars for them that they are each asking!), by all means!!!

  5. Who gets to fix it? by fizzbin · · Score: 2, Interesting

    Jason H. Fisher, an attorney at Los Angeles law firm Buchalter Nemer Fields & Younger, said the biggest obstacles to fixing the Domain Name System are its international nature and the reluctance of the Internet Corporation for Assigned Names and Numbers to take action. Fisher said ICANN "would rather do nothing than make waves."

    If ICANN doesn't take action, who will? Who can?

    --
    Fizz
  6. Or set a limit to the % returned by WoTG · · Score: 3, Interesting

    I don't have the link handy, but I recall reading about one of the other TLD managers implementing a maximum return ratio before they stop refunding the fee. Something like 10% or so.

    FWIW, the Godaddy.com CEO has blogged about this topic a few times, the numbers are staggering.
    http://www.bobparsons.com/index.php?/archives/118- MayKiting.html

  7. Worse, many "registrars" are phony by Animats · · Score: 5, Interesting

    It's worse than that. And it's all ICANN's fault.

    ICANN has become a trade association for domain registrars. Which isn't surprising; they're the ones that pay it money.

    A big problem is that registrars are allowed to speculate in domain names. ICANN has the power to prohibit this (see section 4.2 of the Registrar Agreement) but has not done so. To speculate in domain names, it helps to be a registrar, which isn't that expensive. ICANN's pricing starts at $4000/year. As a result, there are now about 800 "registrars", most of which are fronts for domain speculators. Most of them don't register domains for others at all.

    As a result, ICANN's constituency is now composed primarily of typosquatting slimeballs. That's why we're in this mess.

  8. Why don't we build an alternative DNS system? by mazphil57 · · Score: 2, Interesting

    It shouldn't be that hard to setup something simpler than the current mess. For example, mycompany.com might point to DNS squatters in the ICANN domain, but to an actual "mycompany" in the "new" domain. The new domain would feature low registration fees to those willing to put up a real website. Perhaps something like torrents could be used to spread the DNS updates to eliminate control by evil entities.

    Since normal DNS servers would get ICANN entries, non-evil people can point to port 53 to use non-evil DNS servers (primary/secondary, perhaps using an evil ICANN-based DNS server as a tertiary fallback).

    Search engines could choose to return an IP-based page hit for a non-ICANN "mycompany.com" search.

    We could eliminate the ability of evil entities being able to "take down" a site using DNS measures (i.e Thailand, GWB, China, etc.).

  9. Re:I had not heard of the "testing" period. by dgatwood · · Score: 4, Interesting

    What's an acceptable lease rate though? At $20 a year what should they charge for 5 days?

    $20.

    Actually, if you want to rid yourself of domain squatters forever, what is needed is a tiered DNS pricing scheme in which short periods cost MORE than long periods. People who have held a domain name for years should be able to renew it for progressively less, while people registering a domain name should have to pay for more because it requires additional work to set things up on the part of the registrar (even if that work is basically automated). Make the first year $100, the next year $50, the next year $20, the next year $10, and subsequent years $5. The domain squatters would balk because their next renewal of any domain name would cost them $100+, and most of those link sites wouldn't justify that level of payment.

    Of course, this technique would only work for about 90% of domains. Any domain that was worth squatting on for $100 at the time the pricing went into effect would likely remain squatted upon forever. Even still, that would significantly reduce the current pool and would eliminate future squatting (because there are almost zero domains that are likely to be worth $100 to a speculator without some assurance of ROI.

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  10. My Idea by ryanisflyboy · · Score: 4, Interesting

    I think one way to fix this is to devalue the main gTLDs. Right now there are very few gTLDs that anyone can register for any purpose. I think we need A LOT more gTLDs and train the public further that everything isn't '.com'. This will devalue the existing .com domains that people are squatting. Example gTLDs that I think should have open registration: .global .earth .tech .www .files

    So on and so forth. And if you act now, for only $100,000 you can register a custom non-reserved gTLD for your own purpose (subject to approval, id check, no squatters, etc.): .godaddy, .verisign, .linux, .microsoft, .???.

    This will make that $40,000 .com collection a lot less valuable. This isn't real-estate. It is virtual. When you run out of land on the Internet you just make more land! Well, that will be easier with IPv6, but you get the point. I think the reason why these tactics are occurring is due to the perceived limitation of the .com space. So what, who cares, just make more gTLDs.

  11. One even more obvious fix by metamatic · · Score: 3, Interesting

    Actually, there's an even more simple way to totally eliminate domain squatting and domain speculation.

    It's just politically unacceptable to the people who have a religious belief in free market capitalism, and who can never admit that it's what's causing the problems with DNS.

    It's this: Make domain name registrations non-transferable.

    Think about it. You don't get rampant speculation in phone numbers. You don't find it impossible to get a new phone number because none are available. You don't have to pay $5k to a speculator to get a phone number in your desired area code. Why? Because you can't sell your phone number to someone else on eBay, and you can't keep phone numbers you aren't using for a trivial cost. If you *could* do those things, numbers like mine (which by chance ends in "00") would fetch serious money.

    If Joe Slimeball couldn't sell the cooldomain.com he wasn't using and had no plans to use, he wouldn't spend $30 a year to keep it.

    --
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    1. Re:One even more obvious fix by Wiseleo · · Score: 3, Interesting

      Thanks to number portability, you can in fact sell your local phone number to someone else.

      It can be tricky, but local the vanity numbers brokerage is a thriving niche business.

      --
      Leonid S. Knyshov
      Find me on Quora :)
  12. Re:I had not heard of the "testing" period. by dgatwood · · Score: 2, Interesting

    One last thing. The free tasting period is really just a "you can get your money back within X days" policy. The fix for this policy is "If you made a mistake, you can change the registration to the correct domain within X days, but you must extend the registration one year at the same time. Allow a one-time exemption for the "maximum 10 years ahead" rule, but in effect, this would mean that typo squatters and domain squatters would be able to shift to a different domain exactly once and then they would be stuck with that domain at a cost of $100 for the first year.

    This would continue to solve the "I made a typo" problem that the testing period attempts to solve without opening the door for abuse as the current system does. As for the "buyer's remorse" problem, if somebody insists on a refund, put the domain name on hold, then make them send the request in writing via certified mail and provide a S.A.S.E. for where the check should be sent. This does two things: 1. It makes it slow enough and expensive enough (over $3 for certified mail + S.A.S.E.) that the current abuse becomes unprofitable. 2. You have their name and mailing address, and thus, can refuse to provide this loophole for them more than once.

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  13. The obvious question is... by Panaqqa · · Score: 2, Interesting

    Who determines if something is an "actual website"? Being of a (mildly) technical bent, I would say that any document, even a zero byte index.html, that is coughed up by some variety of server software if presented with an HTTP request - that is an actual website. But we all know that this would not be the interpretation placed on "actual website" if this wording actually became part of the rules.

    As far as so called "domain tasting" goes, I prefer Bob Parsons' term "domain kiting" with all the same negative connotations associated with terms like "cheque kiting" (Bob Parsons is the founder/CEO of GoDaddy.com). To make it worse, domain kiting used to be available only to those with a large financial base to work with - generally in the hundreds of thousands of dollars. But now, a few registrars (DynaDot comes to mind) have lowered the bar for entry so that people with as little as $500 can now engage in domain kiting. It is no wonder that it is so frustrating for new businesses to get online with a decent domain - we are seeing many many more domains such as "davestorontogardencentre.com" because better domains such as "davesgardens.com", "davesnursery.com" etc. are almost all owned by speculators.

  14. Re:WTF??? by IgnoramusMaximus · · Score: 5, Interesting

    ..and your point is?

    My point is that the system is failing miserably, although most head-up-the-ass promoters of "unrestricted capitalism" probably haven't figured it out yet so the social unrest which is on its way will be a real surprise to them.

    Probably because they think of watching 24/7 "news" of Paris Hilton while cherishing their ability to buy truckloads of useless plastic crap from China for their "interest-only" financed 6000 sqft paper and sticks house, while having no savings and a negative net worth in general as "success".

    Communism is dead, it died because the will of the people is not enough to out way the desire for extraordinary success.

    Communism is alive and well in many places where it was always alive and well: Quaker and Mennonite communes. Oh you meant the State Capitalism / Totalitarian Governance combo which the Soviet Union practiced? That one croaked indeed. But not because because it could not out way desire for "extraordinary success". One set of supreme jerks simply lost to another set of supreme jerks. Oligarchs replaced Politburo appointees and then got replaced by ex-KGB "businessmen" who conduct business via 9mm pistol rounds.

    I have news for you: the governing principle of our supposed Capitalist society, the very reason it appears acceptable for the general populace, is that one's wealth is supposed to be proportional to one's merit to society. You break that rule badly enough, long enough and you will end up with Feudalism, Corporatism or some other Fascist abomination.

    ...you however, seem to be shooting for extreme moderation in self made success. A theory that should never be accepted on the net.

    No I am "shooting" for proportionality of reward to merit. That is all.

    No man or woman is 1000 times (or more) "smarter" then even the dumbest of janitors. No fashion model is more meritous then a productive cancer researcher or an accomplished researcher in quantuum physics. No CEO is worth 400 times the average worker in salary and 1000 times in bonuses when the very company he is heading is going bankrupt. No trust fund kid is "better" then that of a minimum-wage diner waitress just because he inhereited $2 billion from papa. And so on.

  15. Re:Two obvious fixes by Anonymous Coward · · Score: 1, Interesting

    It is indeed way to easy for these squatters to sit back and wait for domain names to expire and then immediately snap them up. We had a local ham club lose a .org domain name when it was snapped up after expiring. I personally think there should be some sort of limbo period where the domain is disabled after expiring. It would be even better if accessing the domain name during this period sent you to a page stating that the domain had expired and would be open for purchase by others in the near future. During that limbo period, the original owner can repurchase. Once that period ends, it would be open season.

    In the case of clubs staffed by volunteers, regimes change frequently and often the people responsible for handing the renewal of the domain don't even know they need to do it. Plus, they are not getting the notification from the registrar. And the guy/gal who renewed it last time may no longer be around or may have changed his/her email address. If their web site just stopped working one day (especially if you got a page saying the domain had expired and will soon be available for purchase by others if not renewed), someone would notify the club leadership and someone would figure out how to renew it. The way things work now are thoroughly infuriating. You only find out when you go to the usual web site and find one of these stupid search pages that the squatters put up.

    I think a scheme such as this could help put a dent in one of the most frustrating aspects of the squatter problem. Many a perfectly good domain has been lost to squatters just because domain expiration notification emails just don't work.

  16. Trying to figure this out by fishbowl · · Score: 2, Interesting

    I sold my domain name for $10,000 a couple of months ago. No regrets at all. But what I can't figure out, looking at what the guy who bought it used it for, why it was worth that much to him. All it is now, is a page with links, mostly to things I used to host on my site for my own purposes. Just seems weird.

    --
    -fb Everything not expressly forbidden is now mandatory.
  17. Re: Why is this news? by Anaerin · · Score: 2, Interesting

    Odd. To register a .co.uk costs £10 for me (A UK resident): http://www.freeparking.co.uk/. And I didn't have to jump through any hoops to get it (Create Username/Password/Address/UK Credit Card). In comparison, a .com costs around £30. If you want a difficult one, how about a .ca? You have to submit a (valid) Canadian Social Security Number to get one of those. Or a .ac (Which cost a fortune - £90 last time I tried, which was back in 2001 when I got 240v.ac (And let lapse - I had more domains than you could shake a stick at back then).

  18. Re: Why is this news? by Dan541 · · Score: 2, Interesting

    Try registering a .com.au or .net.au you need to provide trademark registration info.

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