Domain name categorization can improve domain asset liquidity and searcheability

Author: cryptoreporter.eth

In our most recent discussion with NameMaxi, a company dedicated to categorizing domain names, we delved into the significance of categorization in enhancing the liquidity of domain names. The conversation emphasized the crucial role played by factors such as digits, length, and popularity, all of which significantly contribute to a domain's overall value and market appeal.

The team underscored the necessity of categorization in the domain industry to make domains more searchable and easier to find. By categorizing domains based on traits such as being three-digit or four-letter, domainers can identify specific characteristics that aid in valuing the domain. Typically, these valuations are informed by sales of similar domains.

During the conversation, there was a brief discussion between Cryptoreporter and NameMaxi about vision.io (formerly ens.vision) and the importance of tools for categorizing digital assets. NameMaxi stated, “I think that is one of the things when it comes to whether it's ENS, DNS, or any other domain, just in general, it's like it has to be a good name.”

NameMaxi shared insights on what he is building with NameMaxi.com, a platform for finding investable, liquid domain names. “Actually, there was a site that was doing this. It was called shortnames.com. It's a pretty established site, but I found that the interface can be improved and the inventory can be improved. So that's what we did. We basically launched with just categories. First, I bought a couple of digits along my way too. I actually sold some random five digits as well.”

Namefi also received valuable insights from legendary investor Page Howe, known for previously selling Guy.com. Howe remarked, “If you give them some idea of where their name sits inside of a group or a category or just some type of denominator, because it makes it easier to take action and not just walk away.” He further noted, “Then if someone came to buy a name, they could say, I want to go to a sports name. And then they could. They could type in the word golf, but they knew they were in the category of sports. And that meant that your name could be linksgolf.com or your name could be birdie.com. And even though it didn't have the word golf in it, you had categorized it to put it in a place where people might be searching.”

The discussion with NameMaxi highlighted need for categorization to invest in better names. By making domain names more liquid and searchable, categorization not only enhances their market appeal but also empowers domainers to make more informed decisions about what they are buying. .Now with namefi, domainers have the ability to tokenize any domain from a particular category and use it as a wallet address and for liquidity via Decentralized Finance.  As the industry continues to evolve, the tools and platforms that encourage categorization will play an increasingly vital role in shaping the future of digital assets.