.X. said:
My problem with the whole LLLL.com craze that is going on, Is what i am seeing being sold, is pure crap. And the majority are being sold , from domainer to domainer, they are passing hands like candy bars, Not domain names that carry any real value.
Then to see Dot Net coming in to the same equation, As LLLL.com has been going through in this forum, for a year and half, I find it comical as hell, Sorry but i do.
Below is my answer. Originally I posted it in LLLL.com evaluation thread but it also answers the above statement:
Some thoughts on current and future market of LLLL.com.
LLLL.com rose from $7 to $70 in 3 months. Why don't you think they can continue to rise? Currently there was a premium LLLL.net buyout (Feb 1-5) plus the Chineese New Year (Feb 7). Still, the prices are strong, see TDNAM sales of last few days!
With all premium LLLL.net bought out, premium LLLL.com will rise even more strongly, to the level of unpremium LLL.com (as Reece said before). The result - this will drag the whole LLLL.com market upwards.
800
what would you say if you look at this number? Price of a premium at the end of the year? No, it will be the price of normal (semi/tripple premium) LLLL.com in just 10-12 months.
$800 for a standard LLLL.com. Does it sound exaggerated? No, it is another 10 times rise we expreienced in last 3 months.
If you look at the capitalisation of the LLLL.com (4L) market, it is less than capitalisation of LLL.com (3L) market. Stil, with more domains, and more participants, this market is much more liquid and is attracting and will attract more money, from students to bankers, from private persons to large fonds (I saw some fonds investing in LLLL.com already, see for example hamidicapital.com (xdcz.com, etc).
And people will only continue to put money in LLLL market. It is global, it is not depending on only one country which may fall into resession. and it is .com. There are almost no barriers to entry, you can start trading with low amounts, you do not have to register a company, employ people, learn programming, choose design, pass exams, etc.
Previously the domain market was not really standartised. What is the price of domainwasteland.com or hotnewthreads.com (names being auctioned now). With LLL.com/net some standards arise, but the number of LLL domains was unsufficient to create a functioning market with good liquidity.
With LLLL (.com, .net) we have functioning market, with standartised prices for domains (CVCV, VCVC, Premium, tripple+w, tripple +q, antipremium, etc, every category having its current market price). Easy to evaluate, easy to monitor, easy to sell. Easy to arbitrage (thats what flippers do ).
Exactly that caused great rise in LLLL.com prices, not the hype but the possibility to have a commodity which is possible to trade! Oil exchanges function perfectly, with different types of oil (similar to LLLL.com) being traded. You do not have any real exchanges for diamonds (similar to LLL.com) or ships (other domains).
Thus more and more money will come to this business lifting prices up dramatically. LLLL.com will be the first choice, LLLL.net will follow (at a 5-10% of .com). But it will be a substantial, steep, dramatic rise.
And I will not be surprised to see a $800 price for any LLLL.com quite soon. Not at all.
Vlad
P.S. I am selling my LHNP.com+LHNP.net for $800 now. Why, it shall go to $x,xxx soon? Simple, I need to get funds to buy another premium LLLL.com, which has more value for me. I will tell you the name of that one in few days, irrespective if I buy it ir not.