I’m sure some of you never sell to other investors because you have enough capital to play the buy and gold game. Most domainers however do end up needing liquidity for various reasons and decide to sell their domains at wholesale prices on the reseller market. Some even focus on that market (yours truly, for example).
The beginner (#1) for the most part spends less money on the reseller market in 2017 than in the past due to a new type of player appearing: the new gTLD registry. The many “shiny” new gTLDs out there attract lots of beginners (just like for example Dot Mobi attracted beginners in the distant past) and as such, they give money directly to registries such as Donuts through registrars like GoDaddy. The #1 consequence is that this category of investors ends up transacting less on the reseller (domainer to domainer) market
Many people underestimate the importance of beginners but they bring a lot more capital to domaining than people think in my opinion. As such, I think we can safely say new gTLDs have a negative impact on the reseller market under normal circumstances.
Read MoreAgain, this analysis is strictly from the perspective of what’s good or bad for the reseller market. Something that’s good for the reseller market can be bad for the individual investor. For example, the short domain surge created both winners and losers, never lose sight of that either!..
