For the beginners: Risks of investing in Vietnam domain

December 18, 2017

Vietnam domain is hot commodities in today’s tech world. And there are more and more long-domain sold for hundreds of dollars every day.

The result is a unique opportunity for investors to invest in domains that can be sold for a profit in the future. Like any investment, domains come with their own set of risks. However, for diligent investors who consider the risks and returns thoroughly, domains can become an investment that yields high returns, and a unique way to diversify his/her portfolio of investments.

There are many risks that would-be domain investors should carefully consider prior to buying and selling. The some common risks are legality, subjectivity and liquidity, however, there’re also many other ranging from misleading appraisals to faulty payments. Would-be buyers should seriously consider the risks before investing in VN domain.

  1. Subjectivity

Stocks can be valued by the discounted value of future cash flows, whilst bonds can be valued by their coupon payments and interest rates. Domains are a far more subjective valuation which can be so difficult to pinpoint. And these domain appraisers are famous for issuing lofty valuations that can be hard to realize.

domain vietnam

  1. Liquidity

Most bonds and stocks can be sold and bought with ease through a broker. However it can be harder to sell a domain. Finding the right buyer is usually a matter of listing a sale for months or even years, which means that investors should have a lengthy time horizon and the ability to stomach a loss.

  1. Legality

Domain .vn can be a sticky business from a legal standpoint. Choosing names that are so close to a trademarked name can result in a lawsuit and a court order to forfeit the domain for free. In other hands, stolen domains can be sold before the buyer has the ability to discover that they are not the true owner.


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