.nadex New gTLD Application
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New gTLD Application Submitted to ICANN by: IG Group Holdings PLC
Application Downloaded On: 06 May 2014
String: nadex
Application ID: 1-2044-88394
Applicant Information
- Full legal name
IG Group Holdings PLC
- Address of the principal place of business
CANNON BRIDGE HOUSE
25 DOWGATE HILL London - EC4R 2YA GB
- Phone number
+44 20 7896 0011
- Fax number
+44 207 896 0010
- If applicable, website or URL
http://www.iggroup.com
Primary Contact
6(a). Name
Alastair Hine
6(b). Title
Chief Innovation Officer
6(c). Address
6(d). Phone Number
+44 20 7573 0410
6(e). Fax Number
+442078960011
6(f). Email Address
Secondary Contact
7(a). Name
Alastair Hine
7(b). Title
Chief Innovation Officer
7(c). Address
7(d). Phone Number
+44 20 7573 0410
7(e). Fax Number
+442078960011
7(f). Email Address
Proof of Legal Establishment
8(a). Legal form of the Applicant
Public Limited Company and constituent of FTSE250 .
8(b). State the specific national or other jurisdiction that defines the type of entity identified in 8(a).
Incorporated in England and Wales, with registered number 04677092.
8(c). Attach evidence of the applicant's establishment.
Attachments are not displayed on this form.
9(a). If applying company is publicly traded, provide the exchange and symbol.
London_Stock_Exchange / IGG:LSE
9(b). If the applying entity is a subsidiary, provide the parent company.
9(c). If the applying entity is a joint venture, list all joint venture partners.
Applicant Background
11(a). Name(s) and position(s) of all directors
Name
Position
Andrew Mackay Director of Corporate Strategy
David Currie Non-Executive Director
Jonathan Davie Non-Executive Chairman
Martin Jackson Non-Executive Director
Nat le Roux Non-Executive Deputy Chairman
Roger Yates Senior Independent Non-Executive Director
Stephen Hill Non-Executive Director
11(b). Name(s) and position(s) of all officers and partners
Name
Position
Bridget Messer Company Secretary (officer)
Christopher Hill Chief Financial Officer
Peter Hetherington Chief Operating Officer
Tim Howkins Chief Executive Officer
11(c). Name(s) and position(s) of all shareholders holding at least 15% of shares
11(d). For an applying entity that does not have directors, officers, partners, or shareholders: Name(s) and position(s) of all individuals having legal or executive responsibility
Applied-for gTLD string
- Provide the applied-for gTLD string. If an IDN, provide the U-label.
nadex
14A. If applying for an IDN, provide the A-label (beginning with "xn--").
14B. If an IDN, provide the meaning, or restatement of the string in English, that is, a description of the literal meaning of the string in the opinion of the applicant.
14C1. If an IDN, provide the language of the label (in English).
14C2. If an IDN, provide the language of the label (as referenced by ISO-639-1).
14D1. If an IDN, provide the script of the label (in English).
14D2. If an IDN, provide the script of the label (as referenced by ISO 15924).
14E. If an IDN, list all code points contained in the U-label according to Unicode form.
15A. If an IDN, upload IDN tables for the proposed registry. An IDN table must include:
the applied-for gTLD string relevant to the tables,
the script or language designator (as defined in BCP 47),
table version number,
effective date (DD Month YYYY), and
contact name, email address, and phone number.
Submission of IDN tables in a standards-based format is encouraged.
15B. Describe the process used for development of the IDN tables submitted, including consultations and sources used.
15C. List any variants to the applied-for gTLD string according to the relevant IDN tables.
- Describe the applicant's efforts to ensure that there are no known operational or rendering problems concerning the applied-for gTLD string. If such issues are known, describe steps that will be taken to mitigate these issues in software and other applications.
The .nadex string and A-Label were developed in line with and checked against the eligibility, stability and policy criteria as stated in the ICANN Applicant Guidebook - version 2012-01-11. The results of those checks are as follows:
- The string has less than 63 characters;
- The string in ASCII is composed of three or more visually distinct characters;
- The ASCII label consists entirely of letters;
- The string is not a reserved name as shown in section 2.2.1.2.1 - Reserved Names of the ICANN Applicant Guidebook - version 2012-01-11; and
- .nadex is not identical or similar to any of the top 10 invalid TLD’s responsible for the majority of DNS pollution, as referenced in the Security and Stability Advisory Committee (SSAC)’s report on this topic at http:⁄⁄www.icann.org⁄en⁄committees⁄security⁄sac045.pdf. It is likely that the .nadex has not already been queried with meaningful frequency at the root. Therefore, it is unlikely that .nadex will inherit significant invalid query traffic.
Due to the positive results of these checks, IG Group Holdings PLC does not believe that the .nadex gTLD will be subject to any operational or rendering problems.
- OPTIONAL.
Provide a representation of the label according to the International Phonetic Alphabet (http://www.langsci.ucl.ac.uk/ipa/).
18A. Describe the mission/purpose of your proposed gTLD.
THE MISSION AND PURPOSE OF THE NEW RESTRICTED .NADEX GTLD IS TO BENEFIT INTERNET USERS BY ENSURING INCREASED TRUST AND CONFIDENCE THROUGH THE ELIMINATION OF USER CONFUSION AND ASSURANCE OF BRAND AUTHENTICITY.
The .nadex gTLD will create a new generation gTLD serving the interests of end users by providing an authoritative Internet space where information, services and resources of the Nadex brand, its affiliates and partners that are associated with the brand will be closely controlled by IG Group Holdings plc. (IG Group). The majority of the anticipated domain name registrations in the .nadex gTLD will be used in the promotion and communication of the Nadex brand and exchange. A subset of domain names has the potential to be created and used for communication and marketing purposes, with internet users assured of brand authenticity.
IG Group was established in 1974, has its headquarters in London and operates globally with 14 global offices in several European countries, Japan, Singapore and Australia. IG Group is listed on the London Stock Exchange, is a member of the FTSE 250 and has a market capital value of £1.7 billion (as at October 2011). IG Group is a world-leading provider of financial derivatives. Nadex is fully backed and capitalized by IG Group, is subject to regulatory oversight by the US Commodity Futures Trading Commission (CFTC) and has launched a new and easy way to trade underlying markets such as economic events, spot forex, commodities or stock indices. Nadex is the only US exchange that allows individual retail traders to become a direct member and place orders directly on the exchange using Nadex’ direct market access trading platform. In the year to May 2011, IG Group achieved a turnover of £320.4 million, and generated a record adjusted profit before tax of £163.0 million. The .nadex gTLD will increase customers’ trust in trading exchanges listed on Nadex. The .nadex gTLD will allow IG Group to provide resources and potential services to online customers in a secure, interactive and authoritative internet space.
New investment opportunities are increasingly offered over the internet, presenting customers with a wider choice of easy accessible investment products. As a result, both businesses and end users benefit from ease of interaction and a wider range of choices with lower transaction costs. However, the development in this arena in the current domain name system has exposed consumers to confusion in an often crowded and bewildering marketplace and has exposed both businesses and consumers to increased criminal activities over the internet, including data breach, hacking and phishing. These sophisticated criminal activities cause reputational damage to businesses as internet users lose consumer confidence and trust with the businesses targeted by such criminal activities. The .nadex gTLD will facilitate greater trust and assurance from internet users, potentially offering financial services and reliable and relevant educational content in a secure online environment provided by IG Group, whilst still allowing convenient and efficient interaction.
IG Group’s mission and purpose of the proposed new gTLD share ICANN’s initiatives to promote public interest. IG Group is committed to contribute towards achieving such initiatives in line with ICANN’s Affirmation of Commitments, which includes:
- consumer trust: the .nadex gTLD registry will be operated in a centralised manner with a restrictive registration policy. Registration of domain names will only be available to IG Group and its affiliate entities which will provide added consumer reassurance that .nadex domain names are trustworthy. As .nadex domain names are subject to registration standards, policies and procedures under IG Group’s control, this eliminates the possibility of malicious conduct within the .nadex domain space;
- competition: the proposed new gTLD is not directly intended to instigate competition and consumer choice among prospective registrants. Instead it is anticipated to contribute to ICANN’s initiatives to promote public interest through its operation focused on promoting consumer trust. Increased trust in .nadex gTLD will drive existing and new top level domain (TLD) registry operators to make improvements in mechanisms to improve consumer trust of their TLDs; and
- consumer choice: the proposed new gTLD will enable user-driven improvements and innovations assisting IG Group’s marketing efforts through its ability to create new second and third level domain names on demand. These names will provide the consumers with more choices for interacting with IG Group as well as providing an opportunity to IG Group to communicate with customers on a more personal level through intuitive and user friendly domain names. As IG Group has effective control over the registration and use of domain names under .nadex domain space, this will also contribute towards general service innovations on the internet as an outlet for improved services.
Given the restricted nature of the .nadex gTLD, the projected number of registration is likely to be limited. It is anticipated that only about 5 – 15 domain names will be registered in the first few years. However, over the next few years, the number of registrations is likely to increase as IG Group develops and implements new services and marketing campaigns.
As the new .nadex gTLD expands and evolves, IG Group may consider offering the use of second level domain names to its core customers to trade exchanges listed on Nadex in a secure environment at a later date. In this endeavour, IG Group will continue to comply with all operational, technical and policy requirements, as well as maintaining consumer trust and the stability of the internet. IG Group will keep ICANN reasonably informed of any material developments relating to .nadex gTLD including compliance with the continued operations instrument obligations as set out in Specification 8 of the Registry Agreement.
IG Group intends to create relevant domain names for use including brand, services or geographic names in the second or third level domain names. In accordance with registration policy and the proposed measures for protection of geographic names as outlined in response to Question 22, IG Group will possibly use geographic names to localise its websites in the countries in which it operates (currently 15 countries). The possible use of geographic names is intended to:
- connect internet users with relevant information as applicable to the territory; and
- comply with required rules and regulations in the national territory.
Nadex is a well-recognised brand and IG Group has its trademark registered in the United States for the following categories: IC 036 US 100 101 102 (financial services, namely providing for the exchange of commodities, financial trading instruments, financial derivatives and interest rate products).
Further, IG Group has existing domain names in the following spaces:
- gTLDs: nadexacademy.com, nadexuniversity.com
- ccTLDs: nadex.com.hk, nadex.hk
18B. How do you expect that your proposed gTLD will benefit registrants, Internet users, and others?
18(B)I. WHAT IS THE GOAL OF YOUR PROPOSED gTLD IN TERMS OF AREAS OF SPECIALTY, SERVICE LEVELS OR REPUTATION?
The key goals of the proposed new .nadex gTLD are in line with ICANN’s Affirmation of Commitments: to promote consumer trust, competition and consumer choice. IG Group also seeks to foster its online reputation and provide an authoritative internet space through which IG Group is able to communicate with its customers directly and effectively. The ability to create domain names on demand related to specific marketing, specialty service and product development supports these goals. Strengthened security measures, service levels and more effective functionality will provide a trusted and positive user experience.
18(B)II. WHAT DO YOU ANTICIPATE YOUR PROPOSED gTLD WILL ADD TO THE CURRENT SPACE, IN TERMS OF COMPETITION, DIFFERENTIATION, OR INNOVATION?
It is anticipated that the proposed .nadex gTLD will make positive contributions to the wider internet community by providing:
DIFFERENTIATION (INCREASED TRUST):
The .nadex gTLD will simplify how internet users interact with IG Group by providing a distinctive domain space. Internet users will be able to directly navigate to .nadex gTLD site, saving time and resources searching for an official Nadex site. The current domain name system has shown that it is vulnerable to malicious abuses due to registration of domain names which seek to exploit consumer confusion. IG Group can address some of these vulnerabilities by maintaining complete control over the domain names registered under the .nadex domain space. Together with consumer trust, internet users will be able to rely on the authoritativeness of the domain names under .nadex domain space, which will differentiate interaction between internet users and IG Group.
COMPETITION:
The differentiation of .nadex gTLD as a trusted site for IG Group will drive existing and new TLD registry operators to make improvements in mechanisms to improve consumer trust of their TLDs. Internets users will be encouraged to interact with domain names under .nadex domain space. As a result, .nadex will have a flow on effect to enable increased competition. Therefore, the benefits of the proposed .nadex will be distributed not only to its direct customers, but to the internet community at large forcing improved services and competitive pricing in the market place.
INNOVATION:
With the expansion of the internet community to all corners of the world, the existing TLD structure presents limitations, not only in the availability of domain names for registrants, but also to businesses establishing a coherent global online brand presence to meet their evolving business needs. It is often difficult to register a domain name in existing domain space due to unavailability of the desired name. This problem is amplified for organisations such as IG Group who work across many different jurisdictions and geographical markets. Even when the desired domain name is available, it may come with a high price tag associated with a purchase of such desired name from a third party. IG Group has the ability to create second or third level domain names including the use of geographic names on demand which are relevant to its customer base, services and products. Domain names under the .nadex will provide a business development opportunity for IG Group to communicate with its customer base by presenting reliable information in a timely and user firnedly manner through the use of easy to remember domain names. IG Group will be able to combine its use of the domain space with innovative user focused marketing and services to address the currently unmet needs in the existing domain name system providing greater consumer choice.
18(B)III. WHAT GOALS DOES YOUR PROPOSED gTLD HAVE IN TERMS OF USER EXPERIENCE?
The proposed .nadex will provide a positive user experience, which meets the changing and growing needs of the global internet community. IG Group will maintain control in the registration and use of domain names and will ensure that the new gTLD will only be used for purposes authorised by IG Group. Therefore, .nadex gTLD will:
- provide an easy and intuitive reference and access point for internet users;
- represent authenticity thus promoting user confidence;
- direct internet users to transparent and relevant information in a timely manner by creating short domain names on demand;
- use geographic names to localise its websites to connect with internet users in the relevant regions and to comply with local laws;
- enhance security and minimise security risks by implementing necessary technical and policy measures;
- strengthen brand reputation and user confidence by eliminating user confusion; and
- prevent potential abuses in the registration process reducing overall costs to businesses and users.
.nadex should address the concerns that the current domain name system is open to potential malicious abuse and user confusion in the registration processes. Although the current system allows an eligible party to lodge a claim through existing Uniform Domain Name Dispute Resolution Policy (UDRP) or other dispute resolution processes, the .nadex will reduce potential abuses in the registration processes and overall costs to internet users. User confidence in the domain name system will be strengthened, which will ultimately contribute towards promoting ICANN’s core values in benefiting the public interest.
18(B)IV. PROVIDE A COMPLETE DESCRIPTION OF THE APPLICANTʹS INTENDED REGISTRATION POLICIES IN SUPPORT OF THE GOALS LISTED ABOVE.
The proposed registration policy is attached in response to Question 28.
Only affiliate entities of IG Group will be eligible to register domain names in .nadex at this stage. The domain name registration processes will address the requirements mandated by ICANN, including rights abuse prevention measures.
18(B)V. WILL YOUR PROPOSED gTLD IMPOSE ANY MEASURES FOR PROTECTING THE PRIVACY OR CONFIDENTIAL INFORMATION OF REGISTRANTS OR USERS? IF SO, PLEASE DESCRIBE ANY SUCH MEASURES.
IG Group is committed to protection of privacy and confidential information in accordance with its objective of increasing consumer trust and providing a safe and legitimate internet space for internet users. Privacy and confidential information will be protected in accordance with all applicable laws and regulations relating to internet security, privacy and user’s confidential information. IG Group complies with all relevant requirements and standards for the exchange industry including the Directive 2006⁄73⁄EC (EC) for compliance with Markets in Financial Instruments Directive (MiFID) and all applicable regulations and requirements governed by the Financial Service Authority (UK) as the regulator of the financial services industry in the UK.
IG Group has also implemented its own privacy policy to demonstrate its commitment to the protection of user privacy and confidential information. The IG Group Privacy Policy is available on its website and contains provisions reflecting IG Group’s respect for confidential information and personal privacy. IG Group’s privacy policy includes provisions regarding:
- collection of information
- use and disclosure of information
- storage of information collected
- access to information held by IG Group.
Privacy is of fundamental concern to most of IG Group’s customers as the interaction between IG Group and its customers involve transaction of large sums of money. As such IG Group has a strong interest in ensuring a high level of privacy protection for its customers.
As the .nadex gTLD will only be available to affiliate entities of IG Group, the amount of personal data that will be collected for the purposes of operating the gTLD and made publicly available in the WHOIS database will be very limited. IG Group will provide a publicly available and searchable WHOIS look up facility, where information about the domain name status, registrant information including administrative and technical contact details can be found in accordance with Specification 4 of the Registry Agreement. In order to prevent misuse of the WHOIS look up facility, IG Group will utilise measures including a requirement where any person submitting a WHOIS database query is required to read and agree to the terms and conditions in accordance with the registration policy. This will include the terms of use that the WHOIS database is provided for information purposes only and that the user agrees not to use the information for any other purposes such as allowing or enabling the transmission of unsolicited commercial advertising or other communication.
IG Group will deploy Domain Name System Security Extensions (DNSSEC) which is intended to benefit both IG Group and its users interacting with IG Group online. DNSSEC provides additional security by validating information in the transmission, therefore it is intended to benefit those who publish information in the domain name system (DNS) and the users who retrieve information from the new .nadex gTLD. IG Group already implements measures to protect privacy or confidential information of its users against misuse, loss, alteration and unauthorised access. Such measures include a combination of secure computer storage facilities and paper-based files and other records.
IG Group will continue to apply all security measures currently implemented and will comply with all other policies and practices required by ICANN in the Registry Agreement and any relevant Consensus Policy for protecting the privacy and confidential information of registrants and users in the new .nadex domain space.
18(B)VI. DESCRIBE WHETHER AND IN WHAT WAYS OUTREACH AND COMMUNICATIONS WILL HELP TO ACHIEVE YOUR PROJECTED BENEFITS.
The proposed new gTLD will be publicised by a media plan to promote recognition of the new gTLD within the internet community to be a trusted site and as a sign of authenticity.
During the initial stage of the operation of the proposed new gTLD, it is anticipated that internet users will be re-directed to current websites. However, over time, it is foreseen that communication to the internet community of the existence of the proposed new gTLD and encouragement to utilise the trusted site will contribute towards minimising malicious abuses and protecting internet users.
18C. What operating rules will you adopt to eliminate or minimize social costs (e.g., time or financial resource costs, as well as various types of consumer vulnerabilities)? What other steps will you take to minimize negative consequences/costs imposed upon consumers?
As a restricted gTLD, registration will only be open to internal users (affiliate entities) and no third parties will be able to register domain names under .nadex domain space. Therefore, it is not anticipated that third party trademark owners will incur costs in relation to the .nadex gTLD. The affiliate entities wishing to register domain names must ensure that all the policy requirements for registration are satisfied. IG Group will utilise the services of the proposed Trademark Clearinghouse to ensure that domain names registered and the use of those domain names, do not infringe any registered third party intellectual property rights.
No unaffiliated third party will be permitted to register domain names. It is estimated that time and money spent by consumers who have been targeted by malicious abuse in utilising services on the internet will reduce over time as a result of the new, trusted .nadex gTLD.
18(C)I. HOW WILL MULTIPLE APPLICATIONS FOR A PARTICULAR DOMAIN NAME BE RESOLVED, FOR EXAMPLE, BY AUCTION OR ON A FIRST-COME⁄FIRST-SERVE BASIS?
The use of the proposed new gTLD will be restricted to internal business use and IG Group and affiliate entities are intended to be the registrants under the .nadex gTLD. Therefore conflicts between multiple applications are not anticipated to occur.
18(C)II. EXPLAIN ANY COST BENEFITS FOR REGISTRANTS YOU INTEND TO IMPLEMENT (E.G., ADVANTAGEOUS PRICING, INTRODUCTORY DISCOUNTS, BULK REGISTRATION DISCOUNTS).
This gTLD will be used for internal purposes only, so pricing incentives are not applicable or relevant.
18(C)III. NOTE THAT THE REGISTRY AGREEMENT REQUIRES THAT REGISTRARS BE OFFERED THE OPTION TO OBTAIN INITIAL DOMAIN NAME REGISTRATIONS FOR PERIODS OF ONE TO TEN YEARS AT THE DISCRETION OF THE REGISTRAR, BUT NO GREATER THAN TEN YEARS. ADDITIONALLY, THE REGISTRY AGREEMENT REQUIRES ADVANCE WRITTEN NOTICE OF PRICE INCREASES. DO YOU INTEND TO MAKE CONTRACTUAL COMMITMENTS TO REGISTRANTS REGARDING THE MAGNITUDE OF PRICE ESCALATION? IF SO, PLEASE DESCRIBE YOUR PLAN.
This gTLD will be used for internal purposes only, so pricing incentives or pricing increases are not applicable or relevant as no additional fees are to be charged.