One of the top ten domain names listed under “The Drop” category on NameJet’s homepage today is Facebbok.com. With a little over two days to go until the expired domain name auction, there are ten bidders with a high bid of $166. This does not count any bids who placed backorders at SnapNames, DropCatch, Pheenix, or other drop catch auction platforms. Bidding on this domain name seems unwise to me.
Facebook has filed quite a few UDRPs for domain names the company believes is infringing on its mark. In fact, it looks like the company is undefeated in UDRP filings. Although I don’t recall reading about a cybersquatting lawsuit filed by the company, that doesn’t mean there have not been any filings, and it certainly doesn’t mean that there won’t be future litigation if the company feels it is necessary.
From my vantage point, this kind of domain name is all risk and hardly worth the risk. I understand that when there is money to be made, there will always be people willing to take the risk, but it is a bad look for the business of domain name investing.
I think auctions like these give the domain industry a poor reputation. Since it is a deleting domain name, I am sure NameJet is not intentionally promoting the auction nor are other platforms promoting the auction either. I presume it is showing up because of the popularity of the auction. As someone who regularly reads about people calling domain investors “cybersquatters” and other bad names, this type of auction is unfortunate.
I am not one to judge someone else’s business model, but I do think people who are new to the industry should be especially cautious with domain names like these and not think that because so many others are participating it must be okay.