Last week, the domain name RedX.com sold for $59,777 at an expiration auction at GoDaddy, leading many investors to speculate who the buyer is. At such a high sales price, many assumed that the new owner is an end-user. Those assumptions are correct.The WHOIS details for the RedX.com domain name have now changed to show the new owner is Green Seed Technologies, an incubation company based in Utah. One of Green Seed's most prominent brands is REDX, a piece of real estate software that has proved a hit amongst brokers.
In the domain industry, we see sales figures daily. Services such as NameBio post hundreds of closed deals allowing investors to find comparisons that can be useful for both buying and selling domain names. What we often don't see is why a domain sold for a certain amount.This new weekly sales roundup series will focus on the stories behind the numbers. Every week, I'm going to take a dive into the history and current usage of the top five reported DNJournal sales of the week to see if we can collectively establish why each domain sold for the price it did. Was it an end-user sale? Was it acquired by a well-funded investor that will ultimately sell it for more? Was the name acquired for its previous popularity? We'll find out.
Over the past few years, Hostgator founder Brent Oxley has amassed a portfolio consisting of some of the best .COM domain names in existence. Paying somewhere in the eight-figure range to create the portfolio, Brent has now listed the majority of his domains for sale at Oxley.com.The names on display at Oxley.com include Broker.com, Create.com, and VT.com. One thing that I have always noticed about Brent's portfolio is that it has always been loyally hosted at GoDaddy, with names often being transferred from the likes of Network Solutions and Uniregistry to GoDaddy.
Recently, domain investor Michael Bilde of Embrand found a story in a Danish newspaper that revealed that a company called CoolShop acquired the CoolShop.com domain name for $100,000. This fee surpasses many other "shop" domain sales prices. It beats:
Liquid domain name broker Giuseppe Graziano, the founder of GGRG, has announced that he is launching a new service. Developing from his LXME platform which enabled users to liquidate certain short domain names, Giuseppe has now launched LMX using the LMX.com domain.According to an email from Giuseppe, the switch to the new LMX brand still offers the chance to acquire high value domains in the following categories:
Facebook has spent millions of dollars on domain name purchases. From the two-letter .COM, FB.com, for $8.5 million to Facebook.com itself for $200,000 as an upgrade from TheFacebook.com (a decision immortalized by Justin Timberlake in The Social Network, telling Zuckerberg to "drop the 'the'"). Aside from those two names, the company has purchased Messenger.com, Parse.com, and Internet.org for undisclosed fees.It seems that the company has added to its spending by purchasing the one-word .COM domain Rooms.com, discovered by myself on Twitter, and first reported in the media by Elliot Silver's DomainInvesting.com.