discuss Here's why .XYZ will fail

[william]

There has been a lot of hype lately for .xyz because of a small number of big sales. I see a lot of people overextending themselves and pouring a lot of their budget in this extension. Personally, I believe .xyz is doomed to fail. Maybe I'll eat my words, maybe I won't. Here is my case for why I think .xyz will fail:

1) Low number of sales

According to Namebio.com, in the last two years there have been only 867 sales. Only 359 of those have been over $1,000. Yes, these are only reported sales, but unimpressive none the less. Now, compare this with the number of .xyz registered in the past two years, and this number will seem even more minuscule. Most of the names that sold were also premium one word names.

2) No space for innovation

Which brings me to my next point. Because domainers are rushing to register every single available .xyz domain that is decent, it leaves little space for businesses to set up under the extension and promote the extension. This exposure is crucial in order for the TLD to grow. It's getting to the point where you can't find a decent two word .xyz and that's not because they are taken by businesses. Which will certainly stunt its growth.

3) It's ugly

Aesthetically and phonetically .xyz is ugly. It's three syllables, unlike .com, .me, .net, .co... Which makes it harder to say. It looks horrible when it's part of a design or even just typing it. It feels cheap.

4) People don't trust it

Because of all the reasons above and the cheap initial registration costs, there aren't enough legitimate businesses using the extension and there are lot of spammy sites. Starting to type in Google "is .xyz" gives a first suggestion of "is .xyz safe". Same goes for ".xyz domain" (third suggestion).

5) It's not early

I know many of you will say that it's still early for .xyz. But it isn't. It has been around since 2014. It had some initial hype because of Google using it and that hype hasn't materialized. I don't think it ever will.

That's just my two cents. What do you guys think?

 

[wallet2it]

That's not what the discussion and what the post is about. My statement is that I think .xyz will fail as an extension. Not whether or not people are allowed to register or believe in something.

Keyword: My statement and I think

So probably it’s better to change the title to “That’s why I think .xyz will fall. What do you think?”

Your current title gives an impression that it will definitely fail which nobody knows unless you are God or something

 

[kite26]

If Vlady invades to Ukraine, i promise, no .xyz, no metaverse, no sales. For real!

 

[Henry Y]

In response to the OP, below is the pros of .xyz that I know.

1) End user adoptions
End user adoptions is the major and biggest driver of survival of a domain extension. In recent years, more and more web3 companies are using .xyz for their blockchain, crypto, DeFi, DAO and metaverse businesses. The well-known cases include Block.xyz, Spiral.xyz, Mirror.xyz, etc. The reason is that .xyz is the first DNS domain extension that can be integrated with ENS. This provides .xyz a first mover advantage and that's why in web3 entrepreneurs' minds, .xyz is associated with web3.

Let see what some end users think about .xyz:
Agora DAO: “We chose .xyz because it symbolizes decentralization and the new wave of Web3 applications."
Matcha: using the .xyz web extension gave it many more naming options.
Dune: It allowed for a more concise web address.
(Source: https://techcrunch.com/2021/12/28/wtf-is-xyz/)

Based on what the end users said, .xyz gave them more possibilities. It is a totally opposite story to what the OP said that .xyz has no space for innovation.

Of course, the usage of .xyz is not limited to web3 companies. There are also 3D companies, traditional business companies and individuals who are using .xyz. For more examples, please visit https://gen.xyz/live.

2) Upward trend of reported sales
Trend is important to forecast the future. There is no way to use a single time point or interval to predict the future, let alone to make any conclusions. Any opinion about the future without using trend analysis is unfound.
According to Namebio, the year-on-year sales comparisons from 2020 to 2022 (projected) are as below:

• Number of sales: 96 (-%) -> 568 (+492%) -> 3,253 (+473%) (projected, calculated from 205 as of 23 Jan / 23 * 365)
• Dollar volume: $108.2K (-%) -> $1.9M (+1656%) -> $10,549K (+455%) (projected, calculated from $664.7K as of 23 Jan / 23 * 365)

As now is still in very early 2022, the projected 2022 figures may have big difference with the final actual 2022 figures. Yet, there is no doubt that the trend of reported sales is significantly increasing. There is no sign that the increasing trend will stop or suddenly turn to decreasing trend.

Drill down the reported sales to see more, there are end user sales that the sold domains have been developed into websites. For details, you can see the following thread and post:
Credit to @equity78: https://www.namepros.com/threads/10...-a-live-website-a-look-at-the-buyers.1262828/
Credit to @alienbaba: https://www.namepros.com/threads/sa...-xyz-domain-sales.1264011/page-2#post-8504693

3) Unique feature
The .xyz has a unique feature related to NFT that other domain extensions do not have, making it one step ahead to the web3 world. By simply adding ".xyz" at the end of .eth addresses in web browsers (such as nick.eth.xyz), profile pages of NFT collectors will be shown.

As NFT is hot now that many people and companies are getting involved in NFT investments, the unique feature makes .xyz grab more awareness in the public, which is expected to help increase popularity and adoptions in the future.

4) Big room for growth
.Xyz was launched in 2014. It took 5 years for doing promotions to get awareness (i.e. the Introduction stage of Product Life Cycle). It started getting adoptions by end uers in the recent 2-3 years. Based on the current sales trend and end user adoptions trend, we can see that .xyz is now at the Introduction or Growth stage. It has a big room for further growth, given that it is associated with web3, and web3 is the future and still at the Introduction or Growth stage.

5) Improvement in being used in spam websites
.Xyz was used for spamming some years ago. However, the XYZ Registry has put effort to reduce the issue as shown in the table below (Source: https://www.spamhaus.org/news/article/817/spamhaus-botnet-threat-update-q4-2021).

Also, according to Spamhaus (https://www.spamhaus.org/statistics/tlds/), as of 24 Jan 2022, .xyz has a bad score of 0.23 with 2.6% bad domains, while the mostly used .com has a bad score of 0.55 with 4.5% bad domains. The lower the score, the better the extension. So, .xyz is even better than .com in this aspect. Trust in .xyz is hence now being built, which is reflected by the increasing adoptions of .xyz by end users.

 

[Jimmysun]

Sorry to op he just missed the chance. What he is complaining now (1,2,3,4,5)about is just an old topic.

 

[monotheist]

There has been a lot of hype lately for .xyz because of a small number of big sales. I see a lot of people overextending themselves and pouring a lot of their budget in this extension. Personally, I believe .xyz is doomed to fail. Maybe I'll eat my words, maybe I won't. Here is my case for why I think .xyz will fail:

1) Low number of sales

According to Namebio.com, in the last two years there have been only 867 sales. Only 359 of those have been over $1,000. Yes, these are only reported sales, but unimpressive none the less. Now, compare this with the number of .xyz registered in the past two years, and this number will seem even more minuscule. Most of the names that sold were also premium one word names.

2) No space for innovation

Which brings me to my next point. Because domainers are rushing to register every single available .xyz domain that is decent, it leaves little space for businesses to set up under the extension and promote the extension. This exposure is crucial in order for the TLD to grow. It's getting to the point where you can't find a decent two word .xyz and that's not because they are taken by businesses. Which will certainly stunt its growth.

3) It's ugly

Aesthetically and phonetically .xyz is ugly. It's three syllables, unlike .com, .me, .net, .co... Which makes it harder to say. It looks horrible when it's part of a design or even just typing it. It feels cheap.

4) People don't trust it

Because of all the reasons above and the cheap initial registration costs, there aren't enough legitimate businesses using the extension and there are lot of spammy sites. Starting to type in Google "is .xyz" gives a first suggestion of "is .xyz safe". Same goes for ".xyz domain" (third suggestion).

5) It's not early

I know many of you will say that it's still early for .xyz. But it isn't. It has been around since 2014. It had some initial hype because of Google using it and that hype hasn't materialized. I don't think it ever will.

That's just my two cents. What do you guys think?

How does it matter? The sellers of XYZ have made money while you have made nothing. Do people really still think of long term after tasting the pandemic?

 

[monotheist]

Some people don't care much if it crashes and burns tomorrow because they have already made their money. Others, like myself, are regretting the missed opportunity.

No event befalls on the earth or in yourselves but it is inscribed in the Book of Decrees before We bring it into existence. In order that you may not grieve at the things that you fail to get, nor rejoice over that which has been given to you.

 

[william]

Much could be written, but here is short form of my response to the 5 points made by the OP.

It is true that still way fewer .xyz sales than .com. However, on forums people tend to discuss largely trends and changes. In just the first 3 weeks of 2022 the sales dollar volume (a better measure of retail than number of sales) in .xyz is about the same as .net and .org TLDs combined, or in all country code domains, both generic and national, combined. I do not agree it is an unimpressive sales record, but we each can have our own opinion.

I disagree about the hand-registration availability of 2-word or brandable .xyz, but even if that premise was true, is that not exactly the situation we want as domainers? We are seeing startup owners paying 4 and 5 figures for strong .xyz single-word domain names on the aftermarket. Surely we want that?

I know you are not alone in saying that, but one advantage that .xyz has is that it is not sector (like many new gTLDs) or language (like almost all gTLDs) specific. Only about 4.8% of the world speaks English as their native language. It is always important to judge aesthetically in a broad way. Some find the the simple order of .xyz aesthetically pleasing. Not everyone does.

I think this is the most important point. The adoption by Alphabet and especially the rebranding of Block.xyz (Square and other allied businesses) will help build trust. Nevertheless there are definitely some bad actors on .xyz, and a general lack of familiarity with the TLD, especially in the USA. IF the payment processor used by millions of tiny businesses stress that they are part of block.xyz, it will help the TLD build trust. But time will tell. I personally think the TLD would be better if they did not discount first year so extensively.

It is not particularly new, agreed. It has gone through various phases - the initial premium surge, then the penny offer years ago, gradual adoption in some markets but limited aftermarket, then in last couple of years, and especially last year, strong growth in significant aftermarket sales and rapid development of many of those sales, mainly by web3 companies.

Just my opinion.

Bob

Thank you for coming in and responding with points of your own, rather than dismissing the thread as "trolling". It's almost as if two people with two different opinions can have a discussion.

But sarcasm aside, I think you make some good points. But from where I'm standing they're not enough to convince me that in fact .xyz has a bright future.

For example: "Only about 4.8% of the world speaks English as their native language." - this is true, but who is spending the majority of the money on domain names? I'd imagine the bulk of world's spending is still being spent on .com. Despite that small percent of native English speakers. What percentage of the non-speakers are buying other extensions other than .com or their specific country? Additionally, while only 5% of people use English as their native language, 13% of the world speaks the language.

Regarding adoption, growth rates, and sales, I guess we just share a different opinion on that. For me, there aren't enough sales or wide-scale adoption or significant growth, to justify highlighting this extension moreso than any other.

 

[Xiberia]

Also, according to Spamhaus (https://www.spamhaus.org/statistics/tlds/), as of 24 Jan 2022, .xyz has a bad score of 0.23 with 2.6% bad domains, while the mostly used .com has a bad score of 0.55 with 4.5% bad domains. The lower the score, the better the extension. So, .xyz is even better than .com in this aspect.

That's just from names they're checking though, not the total registered. If we assume 150m .COMs and 4m .XYZ, then based on the numbers in your post:

3719 bad .COM sites from 150000000 = 0.0025%

396 bad .XYZ sites from 4000000 = 0.0099%

I don't think it's much of an issue though. More people simply haven't heard of XYZ at all than have heard it's a bad extension.

 

[HotKey]

We don't need to convince you or anyone here William. Bob took the time, I saw your response coming even before you created the thread.

There are those that made their choices long ago with regards to .xyz, or any new G for that matter. The bed has been made.

Best in your future endeavours.

 

[jedaprin]

For like $1.00 you can go buy an xyz
When there on sale
Knowing this youll see a Drop around this time next year

i reg my domains for 10 years especially when there good names

 

[jedaprin]

Thread # 111
You guys argue a lot

xyz is So good it causes widespread arguments

 

[redemo]

This is obviously a troll thread but I like it,

Why is an alternative opinion classed as trolling?

it’s just that people tend to say something that opposes to their subconsciousness, as more people hated .xyz

Hate is a strong emotional reaction. Facts are indisputable. The general public does not trust or understand .xyz domain names. That is a fact. Hit the streets and start asking random people. " Have you heard of .xyz? " or " Do you trust .xyz? " and I think we all know what the general consensus will be.

means more people love it and more people bashed it means more people are afraid of it, so the real situation is when a .xyz dictionary word drops domainers will desperately going to catch.

Dictionary word .xyz are popular because of the hype which is causing stupid sales. The hype will soon disappear and with it the sales. You can buy dictionary word .biz when once they were also part of a hype.

 

[redemo]

xyz is So good it causes widespread arguments

So is anything which causes arguments also good? No.

 

[redemo]

@william, to make your essay more comprehensive and convincing, I suggest you to mention the end user side (especially the crypto and web3 end users) which is the real driver of success or failure of a domain extension, any special feature that .xyz has, the sales trend in the recent years (i.e. year-on-year comparisons), and 3rd party credible research to support your arguments.

Just a friendly suggestion to enhance your essay.

So are you saying .xyz is only relevant to the crypto and web3 community?

 

[redemo]

As per squadhelp recent 2021 in review report , They found an increase in buyer interest in the last 2-3 months of 2021 for the .xyz .

Show attachment 208485

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What percentage of all-time .xyz domain name registrations are currently developed?

 

[redemo]

Even if it Does Fail
Atleast We Bought it
We Are Not Liable By Liability

At least you're being honest now.

 

[redemo]

Also, so far, you have provided 0 reasons why .xyz is actually a good extension.

That's what I have been waiting for. Not emotional outbursts or investment-oriented opinions. What is .xyz actually good for to the general public? So far I've only heard crypto and web3 although crypto is still heavily dominated by dot com and dot org. F.a.c.t.s.

 

[jedaprin]

In India They Argue over the Price of items all the time it makes the item more valueble
Or something

 

[redemo]

and think “.com will be king forever…”

Let us know when dot com stops being king. Until then .....

 

[DomainNature]

He created this topic after my reply here (post-8503301 of XYZ topic) which brough me -13 points (13 my birth day). :D

I m not against XYZ in fact i support XYZ extension, I can see many leaving behind the .IO and switch to .XYZ due to low prices, it's even possible that XYZ will be in the .COM, .NET, ORG group of preffered TLD's.

When you look at how ARcoin was taken in about 18 popular extensions but not taken in XYZ you get surprised and happy to go and hand reg it ASAP.

There are many such cases, so I want to say that XYZ have some future, I doubt it will fail.
And lastly those who post sales must prepare solid proof of the sale, cause else it's just non trust worthy manipulation.

 

[lovely4ever]

What percentage of all-time .xyz domain name registrations are currently developed?

Most important for the resellers to sell domains and make profit , Nobody cares if domains later developed or not .


.

 

[johnn]

I think no one know for sure what's going on.
A lot of members here are selling .xyz name so don't hurt your friend.
Just let it go the way it suppose to go.
If you like it - buy it. If you don't like it - buy something else.
Be nice and your wife will not give you a hard time.

 

[Mkt Sales Leads]

Why is an alternative opinion classed as trolling?

Hate is a strong emotional reaction. Facts are indisputable. The general public does not trust or understand .xyz domain names. That is a fact. Hit the streets and start asking random people. " Have you heard of .xyz? " or " Do you trust .xyz? " and I think we all know what the general consensus will be.

Dictionary word .xyz are popular because of the hype which is causing stupid sales. The hype will soon disappear and with it the sales. You can buy dictionary word .biz when once they were also part of a hype.

The day the xyz hype disappears is the day @DNGear and others stop making sales (which is highly unlikely).

 

[DOMAIN ILLUMINATI]

To think xyz will fail is as absurd as to think com is top.

 

[ArielT]

To think xyz will fail is as absurd as to think com is top.

Yes, .com is a top extension

Why you disagree?