It is bad all you have to do is read the transcripts from the CLS meeting to find that their intention is to allow owners the ability to add their names
in active status for a nominal fee. I believe it was a 5% charge which undercuts the rest of the industry. They only mentioned this once. I'm sure they didn't want to raise any red flags.
http://www.icann.org/meetings/mardelplata/captioning-gnso-forum-06apr05.htm
" I'LL COME BACK TO THIS AND GO THROUGH THE DOMAIN NAME LIFE CYCLE FIRST AND THEN COME BACK.
WHAT WE'RE LOOKING AT DOING IS PROVIDING A STOCK EXCHANGE MODEL WHERE MEMBERS WILL BE REGISTRARS, REGISTRANTS WILL BE CUSTOMERS OF THOSE MEMBERS OR REGISTRARS, AND ACTUALLY LOOKING AT ADDRESSING THE SALE OF THE DOMAIN NAME FOR EACH OF THESE -- OR THE SALES OF THE RIGHTS OF THESE DOMAIN NAMES THROUGH EACH OF THESE PHASES.
WE'VE HEARD A LITTLE BIT ALREADY THIS MORNING ABOUT THE ABILITY TO SELL THE RIGHTS OF THE DOMAIN NAME WHEN IT COMES TO THE REGISTRY. AND WE'RE LOOKING AT TRYING TO FACILITATE THIS EXCHANGE EARLIER IN THE MARKET WHEN THE DOMAIN NAME IS IN AN ACTIVE PHASE.
AT THIS POINT, I WOULD SAY THAT THE REGISTRANT CONTROLS THIS DOMAIN NAME AND THEY CAN ACTUALLY SELL THIS TO OTHER REGISTRANTS THROUGH GDNX AND THEIR MEMBERS.
THE MARKET NEEDS TO ADDRESS ALL OF THESE STAGES, NOT JUST AT THE DELETED PHASE OR WITHIN THE EXPIRED PHASE.
A SECURITIES EXCHANGE, YOU'RE VERY FAMILIAR WITH, THE MORGAN STANLEYS, THE MERRILL LYNCHS OF THE WORLD.
WE'RE LOOKING TO DO A VERY SIMILAR THING WITH THE GDNX, ACTING ON BEHALF OF MEMBERS WHO ARE REGISTRARS, THE TUCOWS THE ENCIRCAS OF THE WORLD.
THEIR CLIENTS ARE REGISTRANTS. THE REGISTRANTS DEAL WITH REGISTRARS.
AND THAT'S A RELATIONSHIP THAT'S BEEN DEFINED BY ICANN.
IT'S A TRUSTED RELATIONSHIP.
WE WANT TO ENSURE THAT THE REGISTRARS CONTINUE TO DEAL WITH PEOPLE WHO THEY'RE FAMILIAR WITH, THESE REGISTRANTS AND REGISTRARS.
SO THE EXCHANGE WOULD ACT AS A BACK-END SYSTEM FOR THESE REGISTRARS OR MEMBERS OF THE EXCHANGE.
COME BACK AND JUST TALK A LITTLE BIT ABOUT OUR TRANSACTION FEES.
WE'RE LOOKING AT CHARGING A 2% FEE TO BOTH THE BUYER AND THE SELLER.
WE'RE LOOKING TO ENSURE THAT THE GDNX IS OPEN TO ALL OF THE TLDS OF ANY REGISTRY, NOT ONE OR TWO SPECIFICALLY.
I THINK THE ACTUAL EXCHANGE NEEDS TO ADDRESS THE DOMAIN NAME LIFE CYCLE OR THE RIGHTS TO THE DOMAIN NAME IN ALL OF THE PHASES, NOT JUST THE DELETED PHASE.
SO AS YOU MOVE EARLIER IN THE DOMAIN NAME LIFE CYCLE, WE NEED TO BE ABLE TO FACILITATE COMMERCE WHEN IT'S ACTIVE.
THIS ENSURES THAT THE REGISTRANTS' RIGHTS ARE PROTECTED.
IF THEY'RE ABLE TO SELL OR SELL THE RIGHTS OF THESE DOMAIN NAMES THEMSELVES, THEN WE DON'T HAVE TO RELY DOWNSTREAM ON A REGISTRAR OR REGISTRY DOING IT, WHAT'S IN THE BEST INTEREST OF THE REGISTRANT.
THE GDNX IS A COMPANY.
WE'RE NOT TALKING ABOUT A ROLE; WE'RE TALKING ABOUT AN ORGANIZATION THAT'S FACILITATING THIS.
AND IT'S AVAILABLE TODAY.
THE MODEL IS VERY COMPETITIVE.
WE DON'T BELIEVE, AS IN THE NYSE OR NASDAQ, THERE HAS TO BE JUST ONE EXCHANGE.
THERE CAN BE MULTIPLE EXCHANGES. AND THAT'S WHAT'S GOING TO DRIVE COMPETITION.
THE REGISTRANTS NEED TO BE PROTECTED, AND THERE'S A FORMAT, AND I HEARD A LITTLE BIT OF IT THIS MORNING, THAT THE REGISTRANTS NEED TO BE PROTECTED BY THEIR REGISTRAR/REGISTRANT AGREEMENTS.
AND THAT IS SOMETHING I BELIEVE THAT THE GDNX WILL RESPECT."
