All good and great markets have one thing in common - a reliable flow of relevant information. Without it, a market suffers from an inconsistency and unpredictability that tends to keep serious new investors at a safe distance in all but the frothiest of times. Information is an absolutely critical element for a nascent market to mature into a stable and liquid one.

Want evidence? Watch Wall Street during any given earnings season. Information flow is at its peak during the months in which most companies report quarterly earnings…and the market makes significant adjustments to stock prices during these months.

The domain name market is in its infancy for sure. Right now, it’s a nascent market that suffers from a dramatic lack of information flow. It’s basically the opposite of Wall Street - private deals with unreported sale prices are made all the time, valuation models aren’t widely distributed, and hard, reliable data on individual domain names is difficult to come by.

If the goal of all good domain investors is to create a stable and liquid market, then we should commit to letting information flow freely before someone comes in and makes it flow for us.

Technorati Tags: domain names, domain investing