History

In order to maintain a central database with all of the registered domain names and
their corresponding IP addresses in the United States (other nations maintain their
own NICs (Network Information Centers) -- there is a link below that discusses
Canada's system, for example), the U.S. Department of Commerce established InterNIC
in 1993 in collaboration with a number of public and private organizations. The
administration and upkeep of the expanding number of Internet domain names and IP
addresses was delegated to Network Solutions, a member of InterNIC. This central
database is copied to Top Level Domain (TLD) servers around the world and creates
the primary routing tables used by every computer that connects to the Internet.
Each registrar with ICANN accreditation is required to pay a fixed fee of US$4,000
plus an additional fee. Variable registrar fees are expected to total US$3.8
million in total.[1] The shared registration system's competition gives end users a
wide selection of registrants who provide a variety of associated services at
various pricing points.
Designated registrar
The domain name registries, which have agreements with domain registrars to offer
public registration services, are responsible for maintaining information on domain
registration. Domain registrar examples include GoDaddy.com, Domain.com, Google
Domains, and IONOS.[2] A registrar is chosen by an end user to offer the
registration service, and that registrar is then identified as the designated
registrar for the user's chosen domain.
In a central registry database, only the designated registrar has access to edit or
remove domain name information. End users frequently switch registrars, triggering
a domain transfer procedure between the two registrars concerned that is governed
by particular domain name transfer policies.
There are numerous domain resellers that permit you to sell domains, even though
the dedicated registrar is the only institution that has the ability to edit or
delete information about domain names in the central registry. To sell and register
domains, you do not need to be a designated registrar.
A registrar must pay a maximum yearly price of US$7.34 to VeriSign, who manages
the.com domain name registry, and an annual administration charge of US$0.18 to
ICANN when registering a.com domain name for an end-user. The majority of domain
registrars include ICANN administrative fees and annual fees in the pricing of
their services and goods. For new businesses without an established clientele,
entry into the bulk registrar sector presents significant obstacles.[Reference
needed]
Additionally, many registrars provide registration through affiliate resellers.
Either directly through a registrar, or indirectly through one or more tiers of
resellers, is how an end user registers. As of 2010, the retail price for a
straightforward domain registration typically ranges from a low of approximately
$7.50 per year to about $35 per year, while registrars frequently reduce the price
significantly - sometimes even for free - when combined with other products.

A domain name may be registered for a maximum of 10 years. Some registrars[3] offer
registrations for lengthier durations of up to 100 years, but these offers require
the registrant to renew the register on behalf of the consumer; the 100-year
registration would not be recorded in the official database of registrations.