What Are Protected Domains? A Beginner’s Guide

Domains are human-readable addresses associated with digital products such as websites, apps, portals, social networks, etc. They’re divided into two categories: second-level domain (SLD) represents your business, and top-level domain (TLD) gives you an online identity. They help you target your audience from over 5.44 billion users. 

The internet’s evolution has transformed online domains, categorizing them into Web2 domains (traditional domains) and Web3 domains (more dynamic and purposeful). Web2 domains hold value because 4.9 billion users still use the Web2 space. However, the fact that 2 billion Web2 users intend to switch to the Web3 space makes Web3 domains equally valuable.   

Web3 domains are secure and permanent and offer complete digital ownership of your virtual assets. That said, there’s one extra layer of protection to safeguard your intellectual property worldwide – domain protection. 

This post provides insights into Web3 domains and TLDs and helps you understand the importance of protected domains. You’ll also learn how to protect your domain with Freename.

Understanding Domains and TLDs

Domains are divided into two categories: second-level domain (SLD) and top-level domain (TLD). SLD represents the name of the business, its niche, or the primary keyword the business is ranking for, while TLD acts as a parent domain for SLDs. 

Imagine you want to start a consultancy called ABC Consultancy. You choose a domain name, “ABC.consultancy”. 

Here, “ABC” is the second-level domain, and “.consultancy” would be your TLD.

TLDs are words or letters that primarily determine the nature of a business and, on most occasions, indicate its reliability. For example, .com TLD indicates that the domain is for commercial purposes. This TLD possesses the highest trust rating and is considered more reliable for business growth.  

Difference Between Web2 and Web3 Domains and TLDs

We all know that the Web2 space is almost saturated by a limited number of TLD domains, making them expensive digital commodities. Moreover, the centralized environment limits their capabilities. In contrast, the decentralized ecosystem (Web3) offers a plethora of secure, scalable, integrable, and affordable domains, a.k.a. protected domains. 

Some benefits of registering a Web3 TLD include: 

• A decentralized environment offers complete data control and anonymity.
• Web3 domains are flexible in nature. You can use them in any way possible. If not, you can simply mint them on a blockchain network of your choice to earn a higher profit in the future.
• Unlike traditional domains, there are no renewal fees for keeping your domain. You buy and register them with a one-time payment and keep them forever.
• Web3 TLDs are excellent sources of passive income. For example, you can become a Freename TLD registrar and earn up to 50% with every SLD registration under your TLD.

What are Protected Domains?

In simple words, domains that offer 100% identity protection are called Protected Domains. Traditional domains usually have to leverage domain protection to avoid risks of data theft, identity theft, and domain name duplication.

Some major reasons for protecting domains include:

• Data Privacy: Brands, including celebrities, multinationals, and SMBs, rely on domain protection to safeguard their personal information (e.g., personal snaps, payments, employee records, logos, and more)
• Security: Protected domains ensure identity and data security during online transactions, data or funds transfers, etc.  
• Prevention of Duplication: Brands always have to deal with threats related to duplication. Protected domains are immune to such misuses and frauds.  

Value and Investment Potential of Domains

• Did you know that Cars.com was valued at $872 million, although it hasn’t been sold yet? 
• In the Web3 ecosystem, Paradigm.eth is worth more than $1.5 million. 

These are some examples just to give you an idea that if you choose your domain wisely, you can earn a fortune out of it.

Before acquiring a domain or TLD, make sure it offers substantial value in the future. Different factors influence domain value, such as:

Qualitative Factors

• No fixed price: Since domains are meant for different purposes and represent different types of businesses, their price range varies. So, there’s no ‘one size fits all’. The good thing is that domain prices keep changing.
• Relevance: The worth of a web domain depends heavily on the business’s identity. The right domain reflects the true nature, professionalism, and potential of the brand it represents, affecting the business’s future.   

Quantifiable Factor

• Language

If your business’s objective is to target a specific region, a native-language domain name may be helpful; otherwise, it may backfire. The same is true for TLD. This is exactly what Anette Kralisch and Veit Köppen discussed in their research. 

• Length

Short and concise domain names, such as Cars.com or 000.eth, are easier to remember. They are worth investing in because they are likely to have higher future value. The ideal domain name should be 6-14 characters.  

• Niche

An ideal domain should reflect your niche or the purpose for which it was acquired. This is where Web3 domains come in handy. 

You can choose a relevant SLD to represent your niche, such as Foodgeek, Floordesigns, Makemoney, or Playgames. 

Alternatively, you can go for a relevant TLD, such as .foodgeek, .floordesigns, or .gaming.

• Market Trends

Factors like age, popularity, and market trends of similar domains are crucial in increasing or decreasing your domain’s value. Again, you can make the most out of your Web3 domains by registering a Freename TLD today and maximizing your profits when new domains get registered with it in the future.

• Exact Match Domains

Be aware of the exact match domains because they can hurt your reputation. Exact match domains are the ones that have exactly the same identity and logo. Using them may put you in trouble. You can leverage platforms like Freename to explore domain names that are available for use. 

Conversely, someone can use your domain name intentionally or unintentionally. It so happens that a Web3 user might copy your identity or logo on some other network. To avoid that, you should think about trademarking your domain or TLD.

Freename Trademarks

But, what if Web3 identity is misused without your knowledge or intent? What if someone creates a similar domain or uses a logo similar to yours and misleads your audience? This is where you need to trademark your TLD.

Trademark Registration Process

Send your Web3 domain or TLD to the Swiss Federal Institute of Intellectual Property (IGE.ch) for confirmation and registration. The process may take weeks, if not months, which is long enough for an unregistered TLD and logo to be misused. 

So, how can you protect your Web3 domain during this period? 

The best way is to trademark a TLD through Freename.io. The platform starts protecting your domain worldwide from the moment you submit your trademark request. The domain protection duration is six months, sufficient for your TLD to get registered.

After confirmation and registration of your trademark, you can decide about the countries where to protect your Web3 domain. 

Benefits of Having a Registered Trademark

• A trademark identifies the source (in this case, your domain) of goods and services. 
• It protects your TLD and logo from being misused.
• It immunizes your TLD against counterfeiting and fraud. 
• A registered trademark authorizes you to take legal action against anyone who uses your domain without your permission.

How to Apply for a Freename Trademark

Follow these simple steps: 

Step 1: Download the Freename TLD Trademark Form.

Step 2: Fill out the necessary information, such as: 

• Your name
• Company name 
• TLD name or list of TLDs (if more than one) 
• Freename-registered email associated with the TLD
• Number of trademarks
• Desired payment method

Step 3: After filling out your information, contact Freename’s trademark department for quick assistance. 

Step 4: Freename will review your Trademark request and send it to the Swiss Federal Institute of Intellectual Property within 7 days. 

After submitting your TLD trademark request to Freename, you will receive 6-months of protection worldwide. The Swiss trademark service fee begins at $1,500 for a single mark.

Benefits of Protected Domains

Protected domains offer you the peace of mind that no one can create the exact identity or logo to mislead your target audience anywhere around the world. Some benefits include:

Brand Integrity

One of domain owners’ biggest concerns is maintaining their brand integrity across online platforms. Protected domains offer brand integrity through trademarking. They immunize your identity, including your domain name and logo, against impersonation. 

Passive Income Opportunities

When a TLD has a trademark, it becomes credible. Users normally prefer reliable TLDs to register with. Once they register their SLDs with a TLD, the TLD owner gets a commission. With Freename, you can trademark your TLDs and earn up to 50% in royalties on your TLDs.  

Legal Protection

Domain protection or trademark allows domain owners to take legal action against the misuser. If your Web3 TLD trademark is registered in the country where the intentional impersonation took place, you can sue that individual or entity for damages.

Conclusion

Protected domains immunize your digital identity against malpractices, such as misusing your name or logo to commit fraud. Not only that, but they also help you clear your image and reputation among your audience, building trust and loyalty among customers. 

Domains, especially Web3 domains, offer huge investment potential. A tactfully chosen domain name or TLD can return skyrocketing profits, as we have seen in this post. However, to ensure credibility, an extra layer of protection must be added. 

In general, online users and startups prefer to register their domain names under a reliable TLD to protect their digital identities. They will ideally choose a TLD backed by a trademark rather than one without it. 

Register with Freename to find top-quality domains with the best investment potential. You can also leverage Freename’s trademark services to maximize domain protection worldwide. 

In the future, there will be a high demand for domain protection to prevent identity duplication, misuse, or fraud. Moreover, protected domains will continue to attract brands and businesses because of the highest level of credibility. Considering these factors, it’s an ideal opportunity to invest in Web3 domains and secure them with trademarks before their prices shoot.