Well, simply put, here are the reasons many people invest in these online assets.
Capital GainDomains are the raw land of the fast-growing online economy. In many regions and countries, Domains are considered internet land, and is taxed as such, at a lesser rate or a Capital Gain.
Portable WealthDomains can be owned and operated from anywhere in the world and can be sold or traded from anywhere.Kind of like having a portable bank.
A Hard AssetLike precious metals, domain names can never be destroyed. They are part and parcel of the worlds online connectivity, and as long as the internet or world wide web exists, they will only become more valuable.
Safe and SecureUnlike precious metals, if you lose a domain name, you can find it easily. It,s online and at your fingertips.
Some of the most valuable web domains consist of one common word in any language. (Note: English words have claimed the highest prices to date). Words such as Fund, Funds, Cars, Autos, store, Retire, Business, Money, Bank, dresses, furniture, jewelry, rings, watches, clothing, pizza, food, restaurants, gas, golf, Hockey, Baseball, Football, etc have demanded very high prices, most in the multi million dollar range such as Business.com which sold for $7,000,000 and Fund.com which sold for over $10,000,000 Don,t forget, these names are readily visible and meaningful to all 7 billion persons currently on the planet, half of which are already linked via the web. Universally known words such as sex.com and porn.com fetched even higher prices.
3 digit number domains are also highly prized for their references to addresses and places etc as well as easy to remember marketing (ie: 911.com) 3 and 4 digit acronyms have even more value ie: CIA.com FBI.com YMCA.com GYM.com IOU.com NBA.com, NFL.com etc, well, you get the picture.
Two word phrases have also been considered quite valuable, depending on their reference. Phrases like Carparts.com, Bankaccount.com, Moneymatters.com, Footballplayers.com , Baseballscores.com, RetirementFunds.com, Stockmarkets.com, FuturesExchange.com,
Airlinetickets.com, have been valued and/or sold for 6 and 7 figures.
Interest and investment in web domain names has grown and grown and there seems to be no end in sight for this valuable, online property.
When constructing an investment portfolio don,t forget this viable and profitable market. Stocks, Bonds, realestate, art, gold, silver, Bitcoin, Domain Names. These all have a place in a truly diversified portfolio of the 21st century.