I Don't Fully Understand the Chinese Domain Market | DomainInvesting.com
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I Don’t Fully Understand the Chinese Domain Market

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When I bought SHS.com, I did so under the assumption that I could profitably sell the domain name to a company or startup that uses that acronym. I figured that if I fail to draw interest from an end user buyer, I could find another investor who would be interested in buying the domain name for a longer hold. In the meantime, my brother used the domain name for his website.

I understand why short numeric and letter domain names have value.

Short numeric (2, 3, 4, and even 5 number) domain names are easy to remember, and they are especially popular for websites in China. Numeric domain names are generally legally “safe” to own. I don’t recall seeing a numeric domain name lost in a UDRP, and I can’t recall any cybersquatting lawsuits related to numeric domain names (correct me if I am wrong, please). They are in limited supply, and there has been demand for 4 numbers and under .com domain names for as long as I can recall.

Short letter .com domain names also make sense, although there can be more legal risk associated with owning them. The legal risk aside, I see many companies and organizations using 2, 3, and 4 letter .com domain names for their businesses. Short letter domain names are easy to remember, can be good for marketing, and are great for shortening what could be a longer domain name if the full company name was used.

For these short numeric and letter domain names, I understand why they have tremendous value. There is a very limited supply of short (2, 3, and 4) letter or number .com domain names, and there is considerable demand. Simple economics help me understand why these domain names are coveted and continue to grow in value.

What I don’t really understand is why some sectors of the market are taking off, particularly related to the Chinese domain market. I don’t know why longer numeric domain names, that seemingly aren’t all that rare, are being registered en masse and growing in value. Mike Berkens reported that there were just 8,000 6 number .com domain names available to register out of 1 million, and he wrote that “We would expect all of these domain name to be registered by the end of the weekend.” There are also many 7 and 8 number .com domain names being registered and sold.

I have seen auctions for many short and/or numeric domain names going for way more than I would have expected, even just several months ago. I understand that domain name buyers in China are participating heavily, and that seems to be driving up the prices. Domain names that have generally not been highly coveted in the US and other Western markets (such as short names with Q, Z, X) seem to set new highs on a regular basis.

The point I am trying to make is that I don’t understand why certain segments of the domain name market are seeing a surge in demand. I do understand that prices are increasing because there is a demand for these domain names, but I just don’t understand why there is a demand for a significant portion of these types of domain names.

As I mentioned in the opening paragraph, I buy domain names that I think others will want to develop in the future. You can see the types of domain names I buy and sell on my corporate website. Whether I sell my domain names to those startups and companies directly or I sell them to someone else who will do that eventually, the domain names I buy have commercial usage from my perspective. I don’t see the commercial usage for some of the domain names that have grown in demand and value, and that is what confuses me.

I am not going to speculate on how the market will perform in the short or long term. Truth be told, I have no idea. If I knew what was going to happen, I would have sold the entirety of my stock portfolio, leveraged everything I own, and I would have bought short numeric domain names 3-5 years ago. I would be retired (or at least be able to retire comfortably) had I done that. I would imagine I could have done this even 1-2 years ago and been able to retire.

There are many people who are making money directly from this market. There are also many people making money secondarily by selling domain names to those who directly benefitted. Despite being active in the domain name business, I don’t really understand the dynamics (ie why a 8 number .com domain name with four 8s at the front is registered) of the Chinese domain name market.


About The Author: Elliot Silver is an Internet entrepreneur and publisher of DomainInvesting.com. Elliot is also the founder and President of Top Notch Domains, LLC, a company that has sold seven figures worth of domain names in the last five years. Please read the DomainInvesting.com Terms of Use page for additional information about the publisher, website comment policy, disclosures, and conflicts of interest.


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Comments (70)

    Thomas

    Sometimes you just need to close your eyes and go with the flow. Follow the money. The trend is your friend.. until the trend stops.

    The chinese domain market may appear irrational to us, but for them it makes perfect sense. Only a minority in this country speaks english so what would they do with english one word .com domans? numbers are a way for them to express larger word combinations and you can buy them in larger quantities. Once they establish a floor / trading price you can trade them like Bitcoins or another form of digital currency. Try to liquidate a portfolio of one word .com domains TODAY and you will end up with around 20-25 cent on the dollar. Liquidate a NNNN or NNNNN / LLL / LLLL portfolio today and you can be sure there will be enough willing to take them from you at floor price. There is no such floor price for one word .com domains.

    November 7th, 2015 at 10:56 am

      Elliot Silver

      I don’t agree about good one word .com domain names. Maybe less meaningful ones.

      I also don’t agree that they will establish a floor like Bitcoin. As far as I know, there is no annual cost to hold cryptocurrency like Bitcoin but there is an annual cost for each domain name.

      In reply to Thomas | November 7th, 2015 at 11:01 am

      Elliot Silver

      The other thing is that domain names are each unique digital assets. Unlike Bitcoin, no two domain names are exactly the same or are worth the same. For instance SHS.com and XXX.com have completely different values as do 888.com and 041.com.

      Finally, there is an infinite number of domain names – even .com. Someone could register 10n .coms if they want. Bitcoin, on the other hand, is limited in quantity.

      In reply to Thomas | November 7th, 2015 at 11:05 am

      Thomas

      I agree regarding the carry costs of domains. But Bitcoins are far more volatile, as 20% moves intraday are not uncommon. Regarding the uniqueness. The Chinese treat 6N or 5L as unique assets as they pay around the same amount for the ones that consist of premium letters. For them it really makes no difference that they are not “unique” They trade at the same prices and can be sold today that is what counts.

      In reply to Elliot Silver | November 7th, 2015 at 11:45 am

      J

      I agree that SHS.com and XXX.com are obviously two different domains. XXX will make a porn operator a massive amount of revenue. It is easily a $1 million dollar domain name without a business model attached to it.

      However, there are way more value for XXX than SHS. Sex. Porn. Same character sequence. This is a massively major dot com because of the XXX meaning.

      SHS may have valuable meaning to a future company who will make a significantly high offer to acquire this 3 character dot com. It is all about timing.

      The best possible buyer realizes the value to their business. XXX holds universal sex/porn value. Both 3 character dot com domain names are vastly different.

      In reply to Elliot Silver | November 7th, 2015 at 3:35 pm

      J

      correctionL However, there is way more value…

      In reply to J | November 7th, 2015 at 3:36 pm

      John

      Not really. It can be divided with many decimal places.

      In reply to Elliot Silver | November 8th, 2015 at 1:23 am

      John

      i.e., bitcoin.

      In reply to Elliot Silver | November 8th, 2015 at 1:23 am

    James

    Elliot – people like Berkens are betting on these long number pattern domains based on all the recent activity. I am surprised nobody reported this but Mike Berkens registered about two thousand long numeric domains
    such as 63333382.com, 63333381.com, 61111183.com and thousands more. Reminds me of the old mining days, using Overture looking for total search score. Look at the registrations from 10-10-15 to see his full list of purchases. Also included were hundreds of 5 letter Chinese domains such as
    dfdhs.com, dfdtx.com.

    November 7th, 2015 at 11:19 am

      Elliot Silver

      Knowing a bit about Mike’s track record, he will do well.

      In reply to James | November 7th, 2015 at 11:27 am

      michael berkens

      James

      You are correct I did

      Sometimes if you can afford to do it beat on the streak

      It is a streak but there is a reason behind it.

      The reason has been in the news all week if you read about .XYZ and banned words issue

      In reply to James | November 7th, 2015 at 3:53 pm

    Eric Borgos

    Elliot – I agree with everything you wrote. The whole situation is wild, confusing, and speculative.

    November 7th, 2015 at 11:32 am

    BullS

    Uh yes, the typical American yankee arrogant and ignorant mentality. What I can find in Kansas, I don’t need to venture outside the boarders.

    If you want to find out the answers why those kind of domains are valuable, you have to venture outside your safe comfortable cocoons.

    So instead of taking vacations in the god old USA, why don’t you spend sometime in China and Asia.

    The answer you are trying to find is just outside your door.
    Open your eyes and open your mind!!..

    When you go, pack with a good sense of humor and a fly with an open mind.

    Your kids will learn that there is a big world to explore besides Kansas.

    November 7th, 2015 at 12:50 pm

      Elliot Silver

      I have traveled the world fairly extensively, although I have not been to China yet.

      In reply to BullS | November 7th, 2015 at 12:52 pm

      BullS

      Uh yes, the typical American yankee arrogant and ignorant mentality.

      The DomainShame gang

      In reply to Elliot Silver | November 7th, 2015 at 3:19 pm

      Spencer

      BullS is always throwing around his progressivism and calling everyone not in lock step a racist. Annoying schtick.

      In reply to BullS | November 7th, 2015 at 10:45 pm

      Dotrader

      I haven’t been to Kansas yet.

      In reply to Elliot Silver | November 8th, 2015 at 4:28 pm

    Ron

    It doesn’t make sense, because it has very little to do with domaining, and more to do with politics

    November 7th, 2015 at 12:51 pm

    BullS

    Apparently you don’t have any Asian Chinese friends? besides me….

    November 7th, 2015 at 1:01 pm

      Elliot Silver

      I didn’t even realize we are friends.

      In reply to BullS | November 7th, 2015 at 1:02 pm

      BullS

      Uh yes, the typical American yankee arrogant and ignorant mentality.

      The DomainShame gang…
      Instead of spending so much money going to that Florida conference, money is better spent traveling to Asia!.

      In reply to Elliot Silver | November 7th, 2015 at 3:21 pm

      Elliot Silver

      It’s not one or the other for me. It’s not easy flying 16 hours for a vacation with a 3 year old and 8 month old.

      In reply to BullS | November 7th, 2015 at 3:24 pm

      J

      Fly solo. Ot plan a future family trip there. Invest in your retirement.

      With all that domain information you will have access to, you can easily reach out to Chinese buyers to explain this numeric movement. Align your domain business to make these high numeric sales.

      Why are numeric domains flying out the door at expensive prices? Maybe no UPDR. Can’t argue that this number is squatting on their brand. Numbers and number sequences are easy to remember. 3 numeric dot com represent pre-fix to phone numbers. Numbers are part of the Chinese language symbols. Pronunciation? These numbers all have meanings like coding actions. Portals?

      It is not a mystery why numeric domain names are selling high. These numbers hold meaning and/or symbolism.

      If you want answers to this numeric movement, you will need to take a risk. Traveling. Personal interviews. Reaching out to buyers. There is a reason for this movement.

      In reply to Elliot Silver | November 7th, 2015 at 8:50 pm

      J

      meant UDRP

      In reply to J | November 7th, 2015 at 8:51 pm

    jZ

    I don’t understand it either and I am not going to bother to try. I’ve never been one to chase after trends in domaining. They almost always eventually fade away and what was once valuable no longer is or at least, not nearly as much as it once was.

    the chinese government stepped in and stopped bitcoin trading in china when they realized their citizens were using it as a way to get money out of the country. will they do something similar with domains when they realize the same thing is happening?

    November 7th, 2015 at 1:18 pm

    Baf

    Elliot. I know you are a very intelligent guy, and I know you understand this market better than many of domainers, and that is the reason why I, when confused or doubtful, ask your advice even though sometimes you feel like I am bothering you and dont like to reply to my messages asking you advices.And I know you already understood the logic of this surge of demand in numeric domain names and short letter and numeric domain names.
    Elliot, not only Chinese people are massively registering/investing in domain names. People from all countries are doing the same thing, that is, the entire world is now aware of that people can/may make money by registering/buying and selling domain names. People from Vietnam, Russia, Ukraine, Iran, Greece, you name it, are massively investing in this business, only that Chinese are doing so in a higher percentage. Whether or not there is a risk doing this business people dont care because they know that there is risk in any type of business. To them maybe the logic is that there is less risk in this type of business comparing to stocks/shares or business that require physical infrastructure and where many were disappointed. In fact, they are driven by the thinking that one can make a lot of profit registering a domain name for less than 10 Dollars and holding to it for a couple of years and sell it for 100 times the price that one bought it for. The annual renewal fees would be covered by this huge profit. What encouraged me to invest in this business starting last month is the fact that I discovered that not only Chinese are massively investing but people of all other countries are doing the same, though in lesser degree and as time passes the whole world will try this business. The following is the catch. This business, I am talking about not-so-good pattern numeric domains and longer letter and numeric domains, will last until Chinese people and all other people who jumped into this business recently realize that most domain names they registered have no place in domain market because they have inundated the domain market as the number of these domains are not limited, and as they no longer can afford the annual renewal fees they will drop their domain names. In other words, they will massively exit this business the same way and degree they entered this business, but this will take time before they realized it, may be 10 years, maybe 15 years. REMEMBER, Chinese and all other Asian people are known to be very patient with perseverance. So until people realize this risk or see the failure in a convincing way, the domainers like you and me will make money out of ignorance and persistence and perseverance of new-comers. You and me know that they are millions and millions of combinations in numeric domain names and all these domain can not be used or serve the purpose, but people who got enthusiasm to enter this business for different reasons do not know that, because most are entering this business listening to their hearts, not listening to their brains, and this is normal, we are humans, we some times or partially work with our hears.
    CONCLUSION. The fact that many people entereda dn continue to enter this business in ways and degree never seen before is a big and huge luck to the experienced/older domainers. Just like the way social security works. Younger people work to finance/support the retirement of older people. The money and benefits the retirees get from social security is far less to money they paid to the social security scheme. The social security scheme will cease to exist/function the they younger people cease to exist or refuse to pay social security scheme. The only difference is that in the context of domain names, new-comers will one day realize that the domain names they have been holding to will never sell and therefore drop them, which is the analogy of younger people ceasing to exist or refusing to pay social security scheme and causing social security scheme to die. Until that happens, smart domainers will make money, a lot of money.

    November 7th, 2015 at 1:27 pm

      Spencer

      Interest rates are too low.

      sigh

      :(

      In reply to Baf | November 7th, 2015 at 10:50 pm

    Koosah

    887.com alone is a retirement plan now.

    November 7th, 2015 at 1:36 pm

    Eric Borgos

    Baf – All of that may be true, but people from China (and other countries) have been buying domains for many years. Why did it happen so fast, just this year? Are these Chinese buyers actually using the domains any more than they were before? If not, then it is just a bubble.

    November 7th, 2015 at 3:19 pm

    J

    Elliot,

    It is what it is. Your contribution to the domain industry matters most. I’m sure you have access to domain owners who want to sell at cheap prices. Your time will come to make that super sale. Numbers are just numbers.

    Not every person understands the value of a domain name or else end-users wouldn’t be paying high prices to acquire them. It is all about who gets there first to get that coveted domain name.

    Chinese buyers have money to spend. They are paying top dollars to acquire numeric domains; it represents their business model.

    It may suck watching these domain names sell at high prices, especially when you could have acquired them instead investing in single word dot coms. I would rather pay cheap for hidden gems than invest a large chunk of money in an expensive domain name.

    From the beginning, you followed the right path. Keep buying those 3 character dot com, single and two word dot com and other domains you see value in. Hold onto them for a long time. Develop them on a small scale with good content. There is no risk waiting to sell, because you can continue to renew them at a fraction of their annual revenue.

    There is a reason behind an increase of numeric domain name sales. We’ll find out later. What I say, is who gives a crap. Let the domain owners and Chinese buyers enjoy their moment.

    It doesn’t change the fact that there are still good deals out there. Cloud, 3D, numeric, and other movements eventually flame out. Quality 3 character, single world, two word, and other types of generic dot com domain names will continue to possess value.

    Premature retirement is a good way to get bored. Enjoy the competition. When that large domain name sale pays off, you will smile. It will happen. Good luck!

    November 7th, 2015 at 3:20 pm

      Elliot Silver

      I appreciate the kind thoughts.

      Just because I am not really all that involved in this segment of the market, does not mean I am missing out. I don’t generally stick to a specific niche. I buy good domain names at good prices all over the place, and I don’t publicly report any sale prices nor all of my purchases.

      I think last month (October) was my best month in about 2 years. May was also exceptional, but not quite as good.

      In reply to J | November 7th, 2015 at 3:32 pm

      Elliot Silver

      I’m not trying to be arrogant, but I don’t need sympathy :)

      In reply to J | November 7th, 2015 at 3:43 pm

      J

      Then you are doing good with domains. You’ve learn a lot. You have an authoritative voice in the domain industry. Your DogWalker website is probably the bread and butter behind your success.

      The numeric game is challenging. There is a reason we’re seeing mega sales. What I see is that 3 character and numbers are easy to remember. It is harder to locate a number prefix rather than finding multiple keywords for a single and/or two word domain.

      For example, Resume.com versus ResumeWriting.com and ResumeServices.com. Jobs.com versus jobsearch.com, WorkFromHomeJobs.com, and other high search job keywords.

      In the number landscape, we don’t have another variation of 887.com. Can this numeric sequence encode language? Have a symbolic meaning? Easy to remember? Phone prefix? Flight 887 50th Anniversary? Area code? Building a brand?

      I assure you there is a meaning for this numeric movement. Look at how easy it is to file UDRP against generic single word and two word terms, even short 3 character dot com.

      We can speculate why numeric domains are selling at record prices.

      In reply to Elliot Silver | November 7th, 2015 at 9:12 pm

      J

      correction; learned.

      In reply to J | November 7th, 2015 at 9:14 pm

      LifaNati

      Elliot

      I think there’s always the morale of the story and felt maybe that’s where you were coming from on this post. I don’t know you personally so will never know your thinking but I have always thought your blogging is one of the best in this industry because of its genuine nature and how you connect with your readers. I personally think investing in something you don’t believe in and that which you think is not valuable to the enduser is not good business. Karma always comes back to bite you in the ass. That’s my belief system. Don’t know if I read it from one of your blogs but there’s always something new to learn in any industry, no matter how good of an expect you are. No sympathy there, your success speaks for itself.

      In reply to Elliot Silver | November 13th, 2015 at 11:00 am

    Jen

    I have been doing a lot of research in the past six weeks, looking for lucky Chinese patterns and even at whois to see who is registering 6, 7, 8, 9, 10, 11, even 12 numeral dot com domains. Most of them are Chinese, Taiwanese, etc.

    While I may not feel the emotional attachment to these numerical combinations, I can at least have the information at my fingertips and make informed decisions as to what to register.

    I did snag what I think might be gems, BUT there is always a chance that there will be a bubble.

    So I try to diversify my portfolio.

    The next trend is LLLLL .com without vowels (although, in some quarters, “A” is considered a premium letter).

    Some patterns are already gone: AABBB, BBBAA, ABABA, etc.

    The last I checked Some ABCBA are still available, but going fast. (I have several AYBYA and (“Y” being the actual letter). The AYAYA and YAAAY patterns have been long gone. I figure the “Y” makes it pronounceable and flips it over to brandable category as well.

    Anyway, these are both exciting and scary times.

    November 7th, 2015 at 3:21 pm

      essential domains

      apropos @Jen registering AY containing LLLLL domains comment

      guess will have to boost asking price on AYVAY.COM i guess 😉

      In reply to Jen | November 8th, 2015 at 9:32 am

    mik

    Well I now am stocking up on 5N .co since everything else is taken and about 95% + of these are now too with the better combinations & luck numbers they are almost gone.

    Numbers have so much meaning in China plus they are used as business names as well. You know those long number emails you’d get looking like spam are Chinese companies or individuals names or sayings.

    I have one nnnnn dot co domain for example thats 72780.co which means basically, certainly easy prosperity for sure for all time.

    As well with 1.3+ billion people in China alone plus millions of businesses the number domains are always going to be in demand and the more people getting into it will hopefully drive up roi!

    Just an observation of course.

    November 7th, 2015 at 4:14 pm

      essential domains

      interestingly starting to receive lookups for 888Group.com and other 888LLLLL.com domains, regged for business names for asian heritage users already in western locales, like Vancouver, SF, other realms where they congregate often

      In reply to mik | November 8th, 2015 at 9:34 am

    BullS

    When you don’t have it, you justify why you don’t have it and giving all the reasons.
    For all those who have them, they just sit back and relax.

    It is human nature!

    Sometimes it is best not to know, just go with the flow and JUST DO IT!!

    November 7th, 2015 at 4:25 pm

    Bobby.Lafaye

    There are so many ways to look at what’s going on and ask why because it defies everything else that we see happening in the industry.

    Namely that single descriptive keywords ending in .com sell for the highest price because they have inherent meaning…to most of the English speaking world.

    Then RS sells several NNN.com’s which alone defy what we’ve come to accept/expect in a domain — that there’s a pretty good chance visitors know what they’ll find by its name.

    With the exception of 247, 365, 411, 800, etc., random combinations of numbers in any length mean absolutely nothing…except to the Chinese.

    So what’s one to do?

    You ride the wave until it crashes into the shore and watch the bubbles pop.

    November 7th, 2015 at 6:07 pm

    John Poole

    Re: “I Don’t Fully Understand the Chinese Domain Market”–2 quotes seem apropos:
    “Markets can remain irrational a lot longer than you and I can remain solvent.”
    “There is nothing so disastrous as a rational investment policy in an irrational world.”

    November 7th, 2015 at 6:15 pm

    todd

    It’s called Hype. If these domains were so sought out then why isn’t the Chinese registering these numbers themselves instead of Michael Berkens and half the members of Namepros?

    November 7th, 2015 at 7:58 pm

    Xavier Lemay

    My fiancee is Chinese and she told me that Chinese people will pay the price to own lucky numbers. They strongly believe in them.

    Licence plate, Office number, telephone number, Home address, email address!

    Why not in domain names?

    In fact, her parents build their house on the street number 38. Phone area code 819 and their phone number dosent contain 4 5 and 0.

    November 7th, 2015 at 8:12 pm

    Elliot Silver

    I just rolled the dice and bought QQQQQQQ.com via Afternic.

    November 7th, 2015 at 8:19 pm

    Elliot Silver

    Alan Dunn published an interesting article about Chinese domain name buying http://www.businessinsider.com/china-is-buying-up-the-internet-2015-11

    November 7th, 2015 at 8:54 pm

      John

      That was a good article.

      In reply to Elliot Silver | November 8th, 2015 at 1:31 am

    Peter

    can anyone tell me what is the added value a domainer makes to any customers???

    November 8th, 2015 at 2:17 am

      Eric Borgos

      Domainers provide liquidity to the domain market, which helps people that want to sell domains. From the buyers side, they provide a constant inventory of available domains. Without domainers, it would be hard for a company to buy a domain because very few of them would ever be available for sale.

      In reply to Peter | November 8th, 2015 at 7:17 am

    Daniel Pfanzagl

    Guys, i got lots of chinese friends and i would not invest so heavily into these numerics if i did not have some certain assurances about the value of strong numerics to the chinese world.. i can’t vouch for the LLLLs, LLNNs though but the 6N, 7N and 8Ns consisting mostly of 8s will be very high in demand already in a year from now by a lot more chineses looking to take their money out of China..

    just wait and see (read also the article posted from Business Insider).. or ask your chinese friends if you got any who are also well versed about domains.. you will get a clear picture then..

    November 8th, 2015 at 4:49 am

    Michael

    I don’t understand this either. When the prices started going up like crazy I sold a bunch of short names thinking it’s just a temporary fluke and people would come to their sense soon. Now I see I lost quite a bit on selling early and prices just keep going up.. I think it’s very hard to predict what’s going to happen next, but one thing is clear: prices can’t just keep going up at such high rates for long. Every market has some ups and downs.

    November 8th, 2015 at 4:50 am

    Nadia

    The degree to which numbers play an important role in marketing and brick-and-mortar shops in China is something that has to be seen to be believed (at least, for someone from the U.S.).

    I went in 2012 and snapped pictured wherever I could – my laptop has since died, but I should have everything backed up somewhere. Numeric (3-6 char.) domains on the side of taxis, apartment buildings, and in some cases, as the front sign of stores.

    November 8th, 2015 at 9:19 pm

    Luigi (DomainEmpire.com)

    We’ve sold many numeric domains in the latest years at prices ranging from few $xxx to some $xx,xxx a piece but we’ve never thought to invest seriously in this niche
    until next July when we’ve started to hand register few dozens of nice 6N.com including 3 “8” in random positions.
    We did that after having seen some similar patterns going in the middle $xxx during the daily drop auctions so we started to see a great investment opportunity
    in them especially when our only cost was the mere reg fee ($8.47/each).

    Now our 6N are worth 300/400$ each for what we see in the daily auctions so few weeks ago we’ve started to study more carefully this emerging market and to
    work fulltime on it.
    We’ve decided to start this new venture after having gathered a group of 5 small investors so we’ve hand reg’d around 4,000 6N.com (all good patterns carefully
    selected) and over 10,000 of the best 7N.com patterns still available in the first half of October.

    Many of our patterns are already auctioned daily and we see their values growing quickly so we’ll continue to monitor the market fully knowing there’s no risk in
    our profitable and safe investment until we’ll monitor the situation to be sure the market demand will not decrease (and surely this would not happen in a single day
    so we’d have all the time to sell when needed).

    Considering we’ve paid a mere $8.47/each for our domains, we’re quite sure to resell at a price 10/15 times higher in just few months so webecome part of this game.

    Basing on our studies, we don’t think the market will ever drop for the few years to come especially because we’ve noticed most of the 6/7N are owned by few big
    domainers with not really interested in parting with them but just in holding them for a very long time in view of a much higher future profit.
    The market offer for quality 6N will constantly decrease (now that they’re all gone) and their prices will continue to raise considering always new domainers are
    entering the game and many of them are building big portfolios to resell slowly and only in a second time at a much higher price.

    Few smart investors have grabbbed all remaining 7N.com starting in quad number or in triple “8” in the second half of August and now they’re already worth
    $150/350/+ for what we see in the daily auctions, this means that these guys are now earning dozens of thousands of dollars by slowly reselling their assets, week
    after week and through multiple auction channels and marketplaces.

    I see numbers as stocks/portable values and I like this game which has basically nothing to do with the old domain rules we all know.
    The goal is buying at the lowest possible price as many numbers as you can, to resell in just few months (at no risk without holding them for a too long time) by
    quintupling your investment.

    Why should you buy ? Simply to make some easy money.
    Don’t do our mistake to think it’s not worth your money investing in 7N.com considering all 6N.com are just gone because hundreds of thousands of 7N (all best
    patterns) have been registered from the second half of August and every week we’ve discovered that an average of 60,000/+ new ones are registered.

    By excluding the ones with “0” or “4” (that we’re not monitoring during our research), here’re some example of patterns completely gone:

    *Starting ending in triple repeated number (3332156 2156333);
    *Containing just 2 diff numbers (1221211);
    *Containing the same number repeated 5 times (5155515);
    *Containing at least 3 consecutive “8” (1888215);
    *Starting in “123” or ending in “678” or “789”;
    *Containing 4 consecutive repeated numbers (2333356) … and many others.

    What’re the new trends ? Most of the 7N containing just 3 identical consecutive numbers are gone and the few remaining ones will be gone in the next
    hours/days /1222563) but also all 7N containing just 3 “8” in random positions will be completely gone very soon (2835818)

    So what’s my advice ? If you wish to be part of this game at no risk, just hand register a dozens of the best 7N still available, hold them for few months than start
    selling to reinvest the new liquidity on other emerging patterns.

    How may you know what’re the new patterns which’re starting to attract the general interest ?
    Just keep an eye on the daily auctions in all major drop sites like pheenix/kqw/godaddy/namejet etc …

    We’ll continue to invest for sure just because we’re starting to understand and to love the spirit of the game :)

    November 9th, 2015 at 10:59 am

    Vinod R

    Elliot,
    We have UDRP on Numerical domains too-
    http://www.thedomains.com/2015/11/10/five-number-domain-lost-in-udrp/

    November 10th, 2015 at 9:31 pm

    Surya

    I see now Chinese market is also begin hot with double Pinyin words like JiuJiu, ChinChin, PinPin in .com. So will all non Chinese domainers invest in this pattern too?

    November 13th, 2015 at 9:18 am

    Chadi Ghaith

    I really don’t understand the point of this post. I was expecting the story of how you sold SHS.com and became a millionaire and suddenly all I found is “I know that… I understand that… but I don’t know why…. I don’t understand why…” wth

    November 13th, 2015 at 9:40 am

      Elliot Silver

      LOL… sorry that it didn’t meet your expectations.

      BTW, I don’t talk about my income/earnings.

      November 13th, 2015 at 9:42 am

      Chadi Ghaith

      No worries! Its not meant in negative way. Just so to speak…

      In reply to Elliot Silver | November 13th, 2015 at 10:07 am

    Douglas

    Glad I am not the only one who is a bit mythed by the whole thing! :)

    Buying brand domains for a purpose, that is something with a concrete ending, simply a great brand will be achieved at the end of the sale.

    These weird LLNN and long numeric combos are bought for a different purpose, I still do not really see what. It could be that just owning a ‘lucky’ number is enough in China that the demand will be met soon and the values will rise but be more select (ie once the owners have the numbers they will not sell).

    A very strange time right now for domains, wonder how far it will go, I mean will 12N domains start selling for 5 figures?

    November 13th, 2015 at 9:55 am

    Mark

    Hopefully you can flip those domain names before the notoriously Chinese investor moves onto the next bubble that “no one fully understands”.

    November 13th, 2015 at 11:08 am

    Luigi (DomainEmpire.com)

    Now that all 6N.com (and the best 6N.net) are gone, the new frontier will be to invest in 7N but something of a bit different will happen now, in my opinion.

    The goal is no longer to try registering all the available 7N but just to grab all the best ones (most of the best patterns are already gone in the latest 3 months) and simultaneously they’re also investing in the top quality 8/9N.com for what I saw.

    Don’t ask yourself the meaning of this form of investment, see it as a new game where you buy at $x (hand registration) to resell in the $xx/xxx range after just few weeks (and this’s happening to many 6N available until the first half of October so it’s not fantasy).

    You might not love this market but you love money (like us) I guess so you’ve a good reason to invest some bucks because this’s an easy way to quintiple your investment in the short term period and it’s what’s actually happening to us.

    Hand register at $8.47 (Gd Discount Club) and resell at just $50/60 each now suppose to register 100 names and to resell them in bulk at $5k after just a month … Don’t you love the game now ?
    We love it and we’re playing very seriously with the support of multiple external investors :)

    November 13th, 2015 at 2:42 pm

    Joseph Peterson

    “Sometimes you just need to close your eyes and go with the flow.”

    That’s how I drive.

    November 13th, 2015 at 2:53 pm

    www.005.net

    one of the reason is…..there are more and more Chinese investors….and some of them have enough cash…..
    they also like good domains…..

    November 13th, 2015 at 7:11 pm

    Luigi (DomainEmpire.com)

    You’re loking for an explanation to this new trend and well, I’ve it.

    Numeric domains have no real use and will be never developed (that’s correct) but they’ll continue to be traded for the years to come as a financial commodity which will continue to grow in value, month after month.

    It’s simply an easy way to quintuple your investment in just few weeks, something you’ll sell only when you’ll need new cash otherwise it’s not worth a sale because you’ll lose the chance to make much more by it in a second time.

    It’s a fun game and it would be great if we’ll be able to attract the attention of as many blogs/magazines and medias in general on this emerging market so always new investors will be attracted by this opportunity and prices will grow even more … We’ll experience a growth in values never seen before in any other market.

    Note that it’s a totally legal game (nothing to do with gambling or other blacklisted ways to make easy money), there’s no real risk here because you can just invest few $xx to get a return of several $xxx in the short term period.

    You can convince others to enter the game with just a single registration ($8.47), they’ll have fun and they’ll thank you as it happened to me few hours ago when a friend that I’ve convinced to register 3 (only three) 6N.com including 3 “8” in random positions at tne end of July, sold one at Eur 999 through Sedo and he couldn’t believe this has really happened.

    It’s nothing of so strange considering some patterns of similar 6N have sold in the $1,000/1,400 range lately in the daily auctions.

    Again, we should attract the attentions of as many magazines as possible on this topic because more they’ll talk of this market and more people will get attracted by it (at advantage of all players).

    We’re seriously planning a campaign in this direction for the coming weeks :)

    We might get no success maybe in a first time but we’ll never desist.

    November 14th, 2015 at 6:23 am

    Xavier Lemay

    The world has alerady seen a similar market in Holland.
    1634-1637

    There’s similarities!

    The Tulip and Bulb Craze
    http://www.investopedia.com/features/crashes/crashes2.asp

    November 14th, 2015 at 8:14 am

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