Alot of services block entire countries. Look at Paypal. Basically if you live in a country that is deemed "undesirable" for whatever reason, you're cut off from alot of stuff. Most companies consider fraud as a cost of doing business, so when they decide to cut off an entire country, they've obviously weighed the pros and cons of dealing with that country and decided that the cost of doing business was just too high.
As for the domain, thats a great catch. I see threads occassionally with people offering high $XXX for LLL.nets of any letters. So getting a nice one with premium letters for that price is probably a good deal.
