How to Make Money with Web3 Domains

We have been hearing about blockchain domains, NFT domains, and Web3 domains, though they sound different they all mean the same thing.

They are domains that end with .eth,.crypto etc and are also can be used on a blockchain(a decentralized system) and can also be sold and bought as NFTs. It is also common on Twitter now where people put .eth at the end of their names.

Blockchain domains can be created and sold on platforms like ENS (the Ethereum Name service), a non-profit organization that sells domain names ending in .eth, and also Cloudname which sell domain names ending with .crypto,.wallet etc

Below are some of the things to put in place to make money with web3 domains;

No. of Characters

There is a saying that the lesser the characters the more valuable it becomes but surprisingly based on statistics domain names with 6 characters. Below are the statistics of the top no. of characters that have made the highest sales;

The majority of sales take place in the 3–8 character range which takes 80% of the total sale based on the pie chart above. So if you want to make a good domain name sale, your no of characters should be an average of 6 characters and avoid anything more than 8 characters.

No. of words

A lot of NFT domain users are more obsessed with one-word domain names. Statistics show that 81.19% of the sales made in the domain industry are one-word domain names and the rest of the percentage cover 2–3 words. So if you want to have good sales selling your domain names, make sure it is not more than a word or two words made one.

Singular Vs Plural

Deciding on singular or plural domain names can be very tricky. It is important to know that using a generic or iconic name it is better to choose a singular domain name. For example, if we want to get a domain for selling cars, there are two options, car.com and cars.com which speak more about selling a lot of cars since it is plural but surprisingly, investors prefer to get the singular domain name more than the plural. Below are the statistics gathered by Matt Garcia on singular and plural domain names.

There might be some ideas that require a plural word but the most important thing to note is that when getting a generic domain name, think of the use cases and the type of business that you can use around that term and whether singular or plural is more appealing for that particular use case.

Type of Word

This is a very important aspect of getting a domain name because attention is not paid to it but choosing one based on instinct. Word type domain name is excluding emoji and number domains. Noun words have been seen to have the highest number of sales in the domain industry. Blow shows statistics by Matt Garcia on the number of sales of different word types.

Examples of acronym domain names are; dapp.eth, hodl.eth, etc

Purchasing Reason

This is the most useful piece of information for NFT domain investors. Why would someone get such an expensive domain? What exactly is the reason this domain was gotten for such a high price?

The purchasing reason for a brand domain name is the popularity of an existing brand. If I havevgoogle.com in my care now, it’s definitely a hot cake and I can sell it for as much as I want. The domain name can be gotten by Google(the owner of the brand) or another investor that can flip the domain name.

The purchasing reason for a term's domain name is the word or phrase is an important term in a particular field or activity. Example classic-art.eth is an art term.

The purchasing reason for an iconic domain name is they represent common words and symbols. An example is a carrot.eth. An iconic domain name is the most sold domain name, it covers 40% of most purchase reasons in the blockchain domain industry. it is known for its collectiveness over functionality.

The purchasing reason for an identity domain name is if it belongs to known investors in the NFT industry or blockchain generally. I can sell elon.eth to Elon Musk if I got it before him and I can sell it for a high amount.

Conclusion

With the above tips, you can be sure to make a lot of money with NFT domains and it is also advisable to do research before investing in NFT domains.

To get your NFT domains, Cloudname is a good platform for doing that. Quickly join the community to also know more about NFT domains.