Author Topic: Front running domain name sales - the scam  (Read 161 times)

Offline Baronets

Front running domain name sales - the scam
« on: June 01, 2018, 10:07:15 AM »
Front running domain names is the practice of listing names for sale that you don't own for a high price. Your hope is that you can sell the nme to an unwitting buyer, and after receiving payment, you purchase the name for a lower price via a buy-it-now offer. Another reason for front running is to increase the perceived value of a similr name that you own, and are hoping to sell after receiving a purchase enquiry.

I own the domain name BuyPureGold.com, and I have just received a notification that it has been listed for sale at afternic. This is an image of the sale offer. - http://baronets.com/images/buy-pure-gold-sale.jpg
This has happened to me several times in the past, and I registered a domain name so that I could put a link on my domin sales pages stating that I do not sell names through afternic. This is the page - http://noafternic.com/

So what will I do now? Well I'm not averse to selling the name for a four figure sum, so I will set up a sale or offer page at Name Silo, and add the name to their market place. I will also create a sales landing page for the name. Maybe I can take advantage of this scam.
« Last Edit: June 01, 2018, 10:15:49 AM by Baronets »

Offline drgomez89

Re: Front running domain name sales - the scam
« Reply #1 on: July 26, 2018, 01:43:59 PM »
It seem to be something like dropshiping? i dont know if i can call it a scam ..

Offline Jet Cash

Re: Front running domain name sales - the scam
« Reply #2 on: July 27, 2018, 10:28:26 AM »
Drop shipping is a perfectly legal sales method. I used it to sell computer printers in the past. I imported a load of printers direct from a Japanese manufacturer, and I allowed a few magazines and marketing organisations to adverise them. The seller would take the money, and send me a shipping address. I would then despatch the goods to the customer. At the end of the month, I would submit an invoice to the seller for the goods, less his commission of course, and he would pay me.

There are variations on this theme, but the important factor is that the goods dis exist, and the seller was in a position to arrange for the buyer to receive the goods. In the case of front running. the advertiser is attempting to sell something to which he does not have any title, and he is not in a position to arrange for title to be acquired by the buyer. It's rather like seeing a car in a car park, and advertising it for sale on the Internet. When you receive an attempted purchase with payment. you have three options. You can try to buy the car for less than you have received, you can run off with the money, or you can refund the payment.

There is another option with domain names. If your registrar is a member of the 'fast transfer' system, the name can be transferred away from you if you have not taken steps to protect the name. In this case you can lose both the name, and the payment. I have had so many front running attempts, that I registered a site to state that I do not support these sales sites - I do not support Afternic sales

There is another reason for front runners to list names they do not own. BuyPureGold.com is listed for sale at a price of $22,264, and the scammer could own a similar name, either the ,net of perhaps BuyRealGold, and he has listed those for a lower price - perhaps $15,000. By quoting the fake sale of my name, he hopes to receive an over inflated price for his own name.