So how much is www.sexy.com.au worth and can I sell the
name? Actually, RU Sexy already beat you to that name but
substitute another prospective domain name of your choice.
Up until now it has been difficult to answer questions about
the value of Australian domain names and whether they can be
transferred. Firstly, the Australian Domain Name Administrator
(auDA) has been quite restrictive in its approach to domain
name transfers. Secondly, there is little publicly available
information about the price for which Australian domain names
have been sold.
There is more public information about prices paid for
dotcom domain names. However, Australian domain names are
unlikely to have anywhere near the same value as a general
rule. Some people say that a good rule of thumb is to divide
the price paid for a dotcom domain name by 100 to get the value
for a .com.au equivalent. Still, that could be a significant
sum. So why the sudden interest in domain name values? auDA
recently announced that it will be relaxing its rules on domain
name transfers. Up until now, domain name transfers were
effectively limited to situations where a person was selling
their whole business along with the associated domain name.
The key features of the new auDA policy on domain name
domain names cannot be registered for the sole purpose of
resale or transfer. The aim is obviously to prevent the
speculative registration of vast numbers of domain names for
a domain name cannot be transferred within 6 months after
registration. No doubt this restriction is related to the
first point in seeking to reduce opportunities for domain
name trafficking. But let's hope this does not
restrict legitimate transfers associated with business
after the 6-month waiting period, the domain name can be
offered for sale by any means.
a standard transfer form will apply and the registrar may
charge a transfer fee. If there is a significant increase in
the volume of domain name transfers, this administration fee
could be a good money spinner for registrars.
interestingly, parties who are involved in a domain name
transfer will be asked to disclose the sale method and price
to enable auDA to provide aggregated market data. Disclosure
is voluntary and confidential. auDA will publish this data in
a de-identified way to give prospective buyers and sellers a
better idea of market prices for an Australian domain name.
While this has the potential to give a much clearer idea of
domain name values, it will be interesting to see whether
parties do disclose this information.
It is hoped that the new policy will be in effect by mid
2008 following further consultation with stakeholders and
allowing time for system changes needed to implement the
So now may be an excellent time to get in and register all
those domain names you have long been thinking about. Of course
you never have any intention of selling them, well at least for
6 months anyway. It will be interesting to see whether there is
a sudden spike in domain name registrations in coming
But before we all get too excited, auDA has advised that its
existing rules in relation to eligibility to apply for a domain
name will remain. So you will still need to demonstrate a
legitimate interest in applying for the name such as being the
holder of an associated trade mark or company or business name
or being able to demonstrate another legitimate connection
between the domain name and your business. While this
requirement will create some restrictions, enterprising domain
name traders will no doubt find ways to accommodate these
requirements while amassing substantial portfolios of tradeable
The content of this article is intended to provide a
general guide to the subject matter. Specialist advice should
be sought about your specific circumstances.
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