China and Domain Names: My Prediction for 2016

[STUART MALOFF]

My prediction for 2016 in the Chinese market.

Savvy investors will realize the rarity of N-N-N-L and L-N-N-N domains and they will steadily increase in value. Remember there are 26 letters and only 10 digits. Remove the vowels, the letter V, and the #4 and there are only about 18,000 of each type. That's rarer than a 5 number domain and almost as rare as a 3 letter domain. I'm not saying there are worth as much as those 2, but they should be worth much more than what they are currently selling for and are one of the few Chinese interest domains that are undervalued in my opinion. Time will tell. Any thoughts?

 

[HUKU]

I have actually found hundreds of these types of domains that developed in China. It is not pure speculation.

You are factually correct.

There are many domain names in combinations of letters and numbers that are in end use. You only need to browse Baidu to find thousands of them. However, as regards price gains, I think it is very much a speculation unless they are short or the value is heightened by a good pattern or meaning.

 

[STUART MALOFF]

Yes, but it is a fact that they are just as short in length as CHIPs and there are less of them than CHIPs, a lot less. Now that they are all sold out besides a few with 4s and 0s, they may go up. I am not making any guarantees, but just trying to find a niche in the Chinese domain name market that is undervalued,

 

[ben pedri]

Just read some chinese investor dropped $2.8mil worth of chip 4 L .coms

Anybody who has that many chips knows what he has ,out of 100 random lll.com I bought over the years 5 were chips ,So he had to buy these on purpose ,so I dont know how true the story is ,unless something happened to him.

 

[campout]

@ben pedri It was a fake story.

 

[HUKU]

It's impossible to predict future flows but if that's your strategy, you take the risk. Overall, I have seen many more with L followed by N combinations. For sure, rarity is likely to be a factor but only one factor:

NNNN means 10 x 10 x 10 x 10 = 10,000

LNNN means 26 x 10 x 10 x 10 = 26,000

LLLL means 26 x 26 x 26 x 26 = 457,000

LLLL (CHIP) means 20 x 20 x 20 x 20 = 160,000

So from that perspective, it looks like the numbers alone favor you but whether they will be adopted with increasing volume is another matter all together. My instinct tells me that a savvy or serious business would prefer an option of all letters or all numbers but that may not be the case in practice as there are already so many with both.

 

[campout]

I think the point is that combining numbers and letters is already a widely accepted practice in China.

 

[Doron Vermaat]

It's like the Onion for domains?

Except that the Onion is actually funny.

 

[main]

my thought is that is pure speculation at the moment however NNLL and LLNN are doing well

NNNL.com / LNNN.com are doing just as well as NNLL.com and LLNN.com. There is less sales volume because combined there are less NNNL.com / LNNN.com than just LLNN.com OR NNLL.com alone. NNNL.com / LNNN.com are extremely undervalued. I will have a big post on why in the next week or so.

There are so many inconsistencies in this entire space right now. For one, there are actually substantially more developed NNLL.com than LLNN.com, and slightly more NNNL.com than LNNN.com developed. There are literally thousands of developed sites in this space. I have a big list of hundreds. I'll give some more examples later on.

I'm bullish on all NNNL.com, LNNN.com, NNLL.com, and LLNN.com for the long term.

 

[Chris Rice]

You all got it wrong when it comes to China.
See what the China domain expert says by going to his amusing thread:
https://www.namepros.com/threads/china-will-block-coms-for-a-competive-edge.913319/

'Amusing' is an understatement.

Domain Name: NAMEPROS.XYZ
Domain ID: D9419916-CNIC
WHOIS Server: grs-whois.hichina.com
Referral URL:
Updated Date: 2015-08-18T02:58:05.0Z
Creation Date: 2015-08-13T02:51:50.0Z
Registry Expiry Date: 2016-08-13T23:59:59.0Z
Sponsoring Registrar: Alibaba Cloud Computing Ltd. d/b/a HiChina (www.net.cn)
Sponsoring Registrar IANA ID: 1599
Domain Status: ok https://icann.org/epp#ok
Registrant ID: C25658478-CNIC
Registrant Name: Jin Qing Qing
Registrant Organization: jin qing qing
Registrant Street: Shang Hai Shi Pu Dong Xin Qu Bei Ai Lu 1660Long 17Hao 1403Shi
Registrant City: Shang Hai Shi
Registrant State/Province: Shang Hai
Registrant Postal Code: 200120
Registrant Country: CN
Registrant Phone: +86.0216885052
Registrant Phone Ext:
Registrant Fax: +86.0216885052
Registrant Fax Ext:
Registrant Email: [email protected]
Admin ID: C25658478-CNIC
Admin Name: Jin Qing Qing
Admin Organization: jin qing qing
Admin Street: Shang Hai Shi Pu Dong Xin Qu Bei Ai Lu 1660Long 17Hao 1403Shi
Admin City: Shang Hai Shi
Admin State/Province: Shang Hai
Admin Postal Code: 200120
Admin Country: CN
Admin Phone: +86.0216885052
Admin Phone Ext:
Admin Fax: +86.0216885052
Admin Fax Ext:
Admin Email: [email protected]
Tech ID: C15897054-CNIC
Tech Name: hichina
Tech Organization: HiChinaWeb Solutions Limited
Tech Street: 3/F., HiChina Mansion
Tech Street: No.27Gulouwai Avenue
Tech Street: DongchengDistrict
Tech City: BEIJING
Tech State/Province: BeiJing
Tech Postal Code: 100011
Tech Country: CN
Tech Phone: +86.01064242299
Tech Phone Ext:
Tech Fax: +86.01064242299
Tech Fax Ext:
Tech Email: [email protected]
Name Server: DNS9.HICHINA.COM
Name Server: DNS10.HICHINA.COM
DNSSEC: unsigned
Billing ID: C15897054-CNIC
Billing Name: hichina
Billing Organization: HiChinaWeb Solutions Limited
Billing Street: 3/F., HiChina Mansion
Billing Street: No.27Gulouwai Avenue
Billing Street: DongchengDistrict
Billing City: BEIJING
Billing State/Province: BeiJing
Billing Postal Code: 100011
Billing Country: CN
Billing Phone: +86.01064242299
Billing Phone Ext:
Billing Fax: +86.01064242299
Billing Fax Ext:
Billing Email: [email protected]
>>> Last update of WHOIS database: 2016-01-22T11:15:18.0Z <<<

 

[HUKU]

I think the point is that combining numbers and letters is already a widely accepted practice in China.

Agreed. However, it may not drive price gains for a very long time if most regard the pure L and pure N options in dot com as a better option. So you could have a situation where people are using this widely simply because they're easy to obtain cheaply.

Then again, you could also have a circumstance where some big sites adopt this and all of a sudden it becomes very fashionable. Think about what apple did for domains i<word>dot com and what the early adopters in China did for numerics. Overall though its impossible to predict but I suspect that the risk reward is quite favorable right now for the savvy to take good combinations.

I think the bigger mistake people are making right now is taking huge positions in new TLDs when there is still so much left to capitalise upon in dot com which is going to be primary for a very long time. Many of these new TLD will go absolutely nowhere and its highly risky taking out thousands of combinations in new TLDs.

 

[mikenormal]

http://domaingang.com/domain-news/s...domains-dropped-en-masse-by-chinese-investor/

Nah, he literally dropped them. Weird as hell but w/e

Just a slow domain news day I guess over @ Domain Gang (yet again). - People call it entertainment but I call it fake BS confusion as per usual. People get confused if they don't know about the 100% true logo.

 

[frank-germany]

you may call it manipulation

 

[hugegrowth]

Just scare mongering about China stocks and economy with no direct link to domain market. Oh and also conspiracy theories about LLLL.

 

[STUART MALOFF]

I have some exciting news to announce regarding the LNNN / NNNL niche domain names without 4s, 0s, vowels and Vs. I just closed a sale for $4,000 with Domain Name Sales brokering for the domain name, s138.com. Of course 138 means something like: I, throughout the 3 stages of life, will make a fortune. 1=I 3
=In the 3 stages of life 8= Will make a fortune. S is a popular letter in China.

As I said more than 6 months ago, these kinds of domains are very under valued. They are much rarer than 5 or 6 number domains as well as the ever discussed CHIPs.

If I calculated correctly there are 160,000 CHIPS- 20x20x20x20
There are 262,144 Six Number CHIPs 8x8x8x8x8x8
There are 32,768 Five number CHIPS- 8x8x8x8x8

There are only 10,240 LNNN CHIPs 8x8x8x20
There are only 10,240 NNNL CHIPs 8x8x8x20

Please let me know if I am doing this incorrectly but according to my calculations, even when you combine both types of 3 numbers with 1 letter, they are still much rarer than even 5 number CHIPS which start at about $2,000. The types of domains I am discussing can be bought below $100 at this point in time on the drop.

A huge percentage of LNNN/NNNL domains are developed in China, so logic tells me at some point, these domains will heat up in the same way CHIPS did. The difference being, there are way more CHIPs available than these diamonds in the rough, so the ceiling is higher, as shown with my latest sale.

We will know down the road if this sale is an aberration or a sign of things to come, but I am bullish on these even if the price goes way up.

I normally do not discuss any of my sales on blogs, but believe this one may shed some new light on an area of the Chinese market that is rarely discussed, but perhaps should be.

A lot of people are bullish on NNLL/LLNN domains as well. I concur, but the NNNL/LNNN are still much rarer than those. If the letters have meaning such as Chinese surnames like Li/Wu/Xu then they may be worth even more than the ones I alluded to above. If not, I believe the rarity of the 3 number, 1 letter domains will have the most potential for future sales.

 

[main]

Killer sale! Congrats

 

[STUART MALOFF]

Thanks! Hopefully we will all experience many of these types of sales in the months and years to come.

 

[hugegrowth]

Nice one!

 

[STUART MALOFF]

Thanks HG! Over time we may discover that the buyer got the better end of the deal, but at this time I am elated with the sale.

 

[hugegrowth]

Do you know it's a Chinese buyer?

 

[STUART MALOFF]

Yes, the buyer is indeed living in China.

 

[STUART MALOFF]

However HG, even though this buyer was in China, I believe these kind of domains could also have end users in other countries including the United States.

 

[Chris Rice]

You all got it wrong when it comes to China.
See what the China domain expert says by going to his amusing thread:
https://www.namepros.com/threads/china-will-block-coms-for-a-competive-edge.913319/

China ended up crafting laws that ban foriegn companies from publishing on the Internet (in China) altogether. So it doesn't look like I was very off base.

But I will wait to see what happen's when .XYZ, .CLUB and other nGTLDs get approved by the MIIT in China.

I suspect that .com will not join the ranks of approved TLDs but that their Chinese IDN will.

 

[STUART MALOFF]

Hi from NamesCon! I woke up to good news in this niche. My domain name z682.com sold last night for $888 through Afternic. Although this sale is dwarfed by my earlier mentioned sale of s138.com for $4,000, it's still a good sign, especially if the buyer is in China.
Inquiries are steadily coming from my portfolio in this niche, but sales have been sporadic. I still believe that these are the most undervalued domains in the Chinese market and are still under the radar. The fact that nnl.com domains and lnn.com domains have a floor in the $x,xxx bodes well for domains adding a n to either side.
As we already know, 5 number chips start at 2k, but there are so many more of those than these hybrids. That high price is because of supply and demand. The supply of these kind of 4c hybrids is now very low. When demand increases, these have nowhere to go but up too. Even if the floor of these goes over $100 it's a solid investment knowing that the ceiling is at least $x,xxx. If anyone would like to discuss these hybrids at NamesCon, please message me through the NamesCon app.

 

[frank-germany]

When demand increases, these have nowhere to go but up.
.

that is true for every asset

 

[STUART MALOFF]

Of course, but it's only an asset if you can sell them for more than you pay for them over time. I'm trying to say I believe there will be more of a demand for these due to the limited supply and percentage of them currently being used for business in China. I personally think 6 number domains with weak numbers are much more speculative than the 2 sold domains I mentioned in this thread. There are like a half million 6 number chips and only around 10k of nnnl and lnnn .com domains. The supply of these is already low so the demand is more likely to go up. The real question is when it will happen.