What would the effects of changing the title of the top US stock exchange be?
On Monday, the department of justice announced the plans to end the “.com” suffix to “free up” internet real estate for “.org” and “.us” suffixes, which have been more frequently awarded.
While its broader implications are unclear, the US stock exchanges’ .com domain names will go first. Other than the effects of changing the name, there are various ways that these changes could affect the stock market.
The US stock market is governed by the New York Stock Exchange (NYSE) and the Nasdaq, and the two are already linked. With .us and .org domain names, however, more addresses can be reserved for US stock exchanges by corporations and public firms. The SGX in Hong Kong has a dedicated domain to its stock exchange, while in Australia, you can visit the ASX website under .au, but not the ASX Group itself.
By the end of the year, more . .com addresses can be held for American stock exchanges. According to the NYSE, the changes will make it easier for consumers to buy and sell US shares around the world. “As .com addresses are reallocated, it opens up opportunities for increasing product selection and greater customer experience.”
ICANN, the non-profit organization which runs the internet, will still keep registration for the top six .com addresses such as .com, .net, .edu, .edu.gov, .gov and .org. An ICANN spokesperson told the Guardian that this number of “intra-domain” (the .com domain can be used for more than one provider or product) is not expected to change.
“ICANN has actively worked for several years to create more meaningful change in the .com area, and it is gratifying to see policymakers across the US and the globe championing innovation in the space. For the moment, .com domain names appear to be safe.”
In a statement, the Nasdaq said that “transitioning to gTLDs makes sense as there are more companies around the world that are claiming ownership of these assets.”
William Lerach, a securities lawyer and chairman of the International Options Forum, is a bit less convinced. Lerach believes that the proposed changes will promote competition for the business of changing new names but also stands to profit in the process.
“It just creates another stream of income for those who already have the .com, .net, .edu, .gov, .org and .net.”