Domain names have been an integral part of commerce and our social lives for 20+ years. From the first .com registration back in 1985, the namespace has expanded greatly as we close in on 400 million registered domain names. As we’ve said before, domain names are rare, encrypted digital assets that live on a decentralized network that offers a traceable ledger of ownership. Domain names were crypto, before crypto. But, the benefits of ownership of domain names are numerous and go well beyond price speculation.
Domain names are built on a decentralized network called the DNS (Domain Name System). This distributed directory service ensures that domain names are translated to IP addresses which computers can understand. This rock solid network is essential to the function of the Internet and it allows us to browse the web, setup our businesses online and send and receive email.
The registered name space is constantly expanding, with nearly 400 million registered domains in existence, as we previously stated. Yet, only a very small percentage are truly premium assets. The amount of short, memorable domain names is finite. There is a set supply of attractive names. For example, only 676 two letter .com combinations exist. Only 17,576 three letter .com domains exist. There are perhaps only a few thousand memorable short one word .com names in existence. Most of these are in use by major corporations already — making the available supply scarce.
Many high value domain names see steady targeted traffic. Visitors land on these names via search engines and social media or by typing the domain into a web browser. This added benefit makes ownership a compelling proposition.
It is for these reasons we feel domain names are a great asset for fractional ownership — and make no mistake, these names are assets. More than just an entry in a distributed ledger — domain names help you set up a business, reach targeted customers and help signify authority. Fractional ownership enables multiple parties to enjoy the perks of these assets, while keeping the purchase price and carrying costs low. Moreover, a fractional platform like Shotput.com will allow a greater liquidity for domain names as the velocity of transactions occur with greater frequency and with less friction.
Feel free to reach out with questions. Welcome aboard!