14 DAY TRIAL // Cybersquatting is really popular all around the globe. Though illegal, this is a fast and easy way to make a lot of money. However, it is even easier to employ this scam when domain name prices are cheap. So, in case you don't know what cybersquatting is, let me explain - say I'm one of those web-squatters and want to make a lot of money. I get a list of international companies and buy domain names on certain TLDs before they can get a chance. So, the basic idea is that when the XYZ company wants to buy xyz dot ro, they find out it is no longer available, because I already bought it. This means they have to contact me and pay me as much as I want for them to get the domain. This will lead to the fact that the $40 I paid for the domain name will bring me a huge profit, depending on the size of the company.
The tactic is quite simple and quite lucrative. However, it is illegal, because it involves buying a domain name you have no right to buy! But it can get even more efficient if a lot of domains are bought. And it gets even more lucrative if the domains are cheap. So here's where Asia comes into play. Just take a look at any of the domain name registers in say Southern Korea, China or India - they're selling domain names so cheap that buying thousands of them wouldn't hurt a scammer's wallet too much.
As seen in a c|net news report, Janna Lam, managing director of Singapore based IP Mirror stated that "The cheaper the domain, the more active the cybersquatting activities". So, as you can see, it's not easy - if the domains are too expensive, everyone complains about it, but if they're too cheap, cybersquatters will take advantage of it - instances of cybersquatting are growing in Asia, as the same site informs.