The much-anticipated SwapBook for this week’s Epik SwapFest is live. Herewith you will find the download of the SwapBook along with answers to questions about the process leading up to the Dutch auction on Friday for whatever remains from the Swap inventory. A supplemental list of names will be published on Friday morning including names picked up during this week through swap transactions.
Why a SwapFest?
At Epik, we are committed to addressing one of the largest structural challenges that impact the domain industry: the absence of conventional liquidity. The lack of cash with which to clear transactions has led to a slow down in the pace with which domains are getting into the hands of people who can add value to them through development. To address this, Epik developed an alternative currency called EpikBucks.
Where is the Swapfest?
The first ever SwapFest event is being conducted as part of the Epik Developer Conference is a forum for clearing transactions that would normally not get done in a peer-to-peer format. The culmination of the SwapFest is on the morning of September 17 when Epik will make a large pool of domains available that are either developed or are in development and can be purchased with EpikBucks or Dollars.
Why Dollars alone don’t always get the job done
Often times, the value of the raw land is increased by being able to consolidating names around a strategy, e.g. Person A wants geo names, and person B wants household appliances. However, if neither Person A nor Person B have cash, nor do either have domains that the other person wants, no transaction is completed. This is a classic inefficient market where the only guys who get to participate are the ones with ample cash on hand.
What are EpikBucks?
EpikBucks are a primary basis through which Epik buys in domains that it views as being high potential for future development on the Epik platform. EpikBucks are transferable, never expire, and can be converted into services or domain purchases from Epik and from Epik-approved partners. For purchases, EpikBucks convert on a on 1:1 basis to the US dollar listed prices.
Can I use EpikBucks to bid at auction?
During the Epik DevCon, EpikBucks can also be used as an accepted form of payment to settle bids made during the live auction or the extended auction. If a domain is sold the selling party may elect to receive payment in the form of EpikBucks or cash, at their choice. The non-cash option may be selectively attractive to the seller if their plans call for buying other domain names — a cashless, and non-taxable “like-for-like” exchange.
Can EpikBucks be converted to cash?
As of this writing, several Epik Developers are actively buying in EpikBucks, typically at 85 to 90 cents on the dollar. While Epik does not redeem the EpikBucks for cash, we openly endorse the use of EpikBucks as medium of exchange and will serve as escrow agent between buyer and seller where EpikBucks transactions are involved. Epik will actively facilitate a liquid market for EpikBucks.
How do I get more EpikBucks?
The easiest way to get more EpikBucks is to sell domain to Epik. In addition, we will regularly post transaction details at the conference community site (network.epik.com) about EpikBucks transactions. Details will include amounts, the buyer and what was acquired. Buyers of EpikBucks are welcome to make contact about buying EpikBucks from those who hold them.
What domain names does Epik buy in?
Epik is actively buying in domains that have high exact search volumes for TLDs that are known to have a good ability to develop into search-friendly destinations. An approximate guide to the types of names that Epik is buying include: .COM with a DQI of 500+, .NET with a DQI of 1500+, .US with a DQI of 10,000+, all other TLDs with DQI of 50,000+
What is Domain Quality Index (DQI)?
The DQI is calculated by multiple the exact search volume and multiplying by the average $ CPC. The recommended source of statistics for computing DQI is Estibot.com or Appraise.Epik.com. While the DQI will not always identify every development candidate, it will substantially filter domains that will be difficult into search-friendly websites.
What if I have a low DQI name that I really believe in but can’t develop?
Most domainers have domains that they really believe in but don’t appraise highly by conventional metrics. For these names, we recommend using the online forum at network.epik.com to let others know if your domain holdings and an indication of what you would accept as fair compensation.
Which domains are being made available?
At a minimum, Epik is making available more than 3,000 domains. These are included in the SwapBook. In addition, before, during and after DevCon, Epik will continue to buy in more domains that Epik believes have high development potential. These domains will also be made available to participants in the SwapFest program.
Why are there no prices in the Swap book?
During DevCon, Epik will regularly conduct bulk transactions for domains that are in its SwapBook. On 9/17, domains remaining will be made available using a Dutch auction format where domains will be made available on a first come first serve basis at progressively falling prices starting at $9,999 and falling to $199. The sale price includes both a domain name and a website. The domains that are not sold at $199 will remain on Epik’s books.
Will there be other Swapfests?
The main Swapfest will be conducted annually at the Epik Developer Conference. In addition, Epik will be working with other conference organizers to schedule Swapfests around other conference events where domain investors are known to participate. Online tools for ongoing Swap trades will also continue to evolve in the months ahead.