Registry nixes domain trade-in plans — for now.
Last month VeriSign submitted an evaluation request to ICANN for a so-called “Domain Name Exchange”. VeriSign has withdrawn the request according to the evaluation status on ICANN’s web site.
The service would basically allow domain name registrars to return unused domain names in exchange for others. This would be ideal for companies that sell web packages for less than a year at a time. For example, a web host might offer a monthly package that includes a domain name. If the customer cancels after a month, the web host is stuck with the domain for which it already pre-paid for a year.
In its initial request VeriSign noted that some members of the Intellectual Property Constituency might be concerned about how the service could be gamed into a sort of domain name tasting service.
Although it’s unclear why VeriSign withdrew the request, it could be that the timing was untenable given current intellectual property concerns with new top level domain names.