I blame the sales site for making it too easy to spoof characters. domain name sales should be shown in fonts that don't confuse, or that use several ways of showing the data such as:
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lraq.com (lower case)
LRAQ.COM (upper case)
Lraq.com (mixed case)
L R A Q (spaced)
character mask LLLL.com
Includes numbers = NO
IDN character set = NO
====================
1raq.com (lower case)
1RAQ.COM (upper case)
1raq.com (mixed case)
1 R A Q (spaced - to avoid letters like vv as w)
character mask NLLL.com
Includes numbers = YES
IDN character set = NO
===================
By templating domain listings as above, there is less chance of the bait and switch character game. How hard could this be?