[arin-ppml] Waiting List IPv4 blocks transferred after issuance

Mike Burns mike at iptrading.com
Wed May 29 17:02:34 EDT 2019


Hi Robert,

 

The problem of leasing space before the 12 month waiting period, so as *only* to avoid that period, is small in my experience.

After a year, any such lessor could sell if they wanted to, and they have the same sell/lease incentives as any other ARIN holder.

Do you have evidence that people are monetizing waiting-list addresses prior to the 12 month period by leasing them? 

 

What you say below, however, is completely correct.

I have tried to direct the community towards the glaring absence of a lease policy at any registry.

I believe it’s time for such a policy, given the market circumstances we find ourselves in.

Such a policy would allow for open leasing, with certain recording requirements for abuse contacts of the lessee, etc.

I think such a policy would be in-scope and would yield, in a negative way, to the desired results of the anti-BGP hacking policy.

 

Regards,

Mike

 

 

 

 

From: Robert Clarke <robert at rjfc.net> 
Sent: Wednesday, May 29, 2019 4:24 PM
To: Mike Burns <mike at iptrading.com>
Cc: Fernando Frediani <fhfrediani at gmail.com>; arin-ppml <arin-ppml at arin.net>
Subject: Re: [arin-ppml] Waiting List IPv4 blocks transferred after issuance

 

Hello Mike,

 

Why are you using John's "waiting list IPv4 blocks transferred" numbers as a baseline for the /19 numbers? This is completely arbitrary and doesn't give any scale as to the problem with fraud. See my earlier reply to John's email in the other thread:

 

"Thanks for sharing. I'd like to note that it can be dangerous to use the blocks transferred via 8.2/8.3/9.4 as a metric for abuse. A fraudster that gets past ARIN's scrutiny and obtains IPs with fraudulent information is probably smart enough to lease their IPs as opposed to selling the space outright. There is a huge market for leased space, and those deals happen behind closed doors with no oversight from ARIN. IP addresses go for $0.2-0.5/mo depending on term/IP reputation/size which could lead to $XX,XXX in illicit revenue with no risk of ARIN's scrutiny which would normally occur during the transfer process."

 

Thanks,

 

Robert Clarke





On May 29, 2019, at 8:13 AM, Mike Burns <mike at iptrading.com <mailto:mike at iptrading.com> > wrote:

 

Hi Fernando,

 

Thanks for the discussion.

Many feel as you do, that unused addresses should be returned to ARIN for subsequent distribution to those in need.

Unfortunately, that policy was not successful in bringing unused addresses into actual use by those in need.

The community decided to harness the profit motive to incentive this process, and by all accounts it is working.

 

Unfortunately the profit motive also incentivizes fraudulent plundering of the waiting list pool.

 

So I am happy to discuss the correct balancing of things to prevent fraud but allow the market to continue to drive us towards the desirable ends of accurate registration and efficient use.

 

Since the /19 is the threshold number of sorts for flipping, I could accept a /20 as the maximum size.

I think a 2 year wait is reasonable, but I don’t see the additional benefit as worth the distinction of ARIN space into more classes.

And making it more complicated with multiple waiting periods is even less desirable, IMO.

 

Regards,
Mike

 

 

 

 

From: ARIN-PPML <arin-ppml-bounces at arin.net <mailto:arin-ppml-bounces at arin.net> > On Behalf Of Fernando Frediani
Sent: Wednesday, May 29, 2019 10:50 AM
To: arin-ppml at arin.net <mailto:arin-ppml at arin.net> 
Subject: Re: [arin-ppml] Waiting List IPv4 blocks transferred after issuance

 

On 29/05/2019 11:31, Mike Burns wrote:

Orgs will wait out any period, sitting with unused addresses until they reach the resale date. Not efficient use.

If it's not a legacy resource and if ARIN gets to know about it, it may just recover this addresses even if the resource holder is paying it correctly. That's how it should work.






People will lease unused addresses to others and Whois accuracy will suffer if they can’t resell them. Not accurate registration.

If people lease they prove they have no use for the addresses and again ARIN should recover them at any time. If whois is inaccurate, well it is their fault and not policies fault. They must bind to the current rules not the other way round.






I think we should give everybody currently on the list up to a /19 and then restrict new entries to a /22.

Fair to discuss this scenario, although I still think /19 is too much. Agree on /22 for new entries.




I think a 5 year resale wait is too long, based on the paltry resales of prior waiting-list subnets smaller than /19.

It may be long, but 2 years seems a little short and 'acceptable' for a fraudster. Perhaps something in between.





I support a /22 restriction for new entrants, a /19 max for current list members, and maintenance of the 12 month wait for simplicity’s sake.

What about discuss /22 for new entrants, /20 for current list members and 36, 42 or 48 months for transfers ? Seems more reasonable in my view and cover most aspects of this discussion.









 

Regards,
Mike

 

 

 

 

From: ARIN-PPML  <mailto:arin-ppml-bounces at arin.net> <arin-ppml-bounces at arin.net> On Behalf Of Fernando Frediani
Sent: Wednesday, May 29, 2019 8:51 AM
To:  <mailto:arin-ppml at arin.net> arin-ppml at arin.net
Subject: Re: [arin-ppml] Waiting List IPv4 blocks transferred after issuance

 

+1

On 28/05/2019 23:52, Owen DeLong wrote:

Mike, 

 

Yes and no. I believe that the lack of legacy holders for any blocks issued under 4.1.8 reduces the need for the market.

 

Defunct organizations can easily be reclaimed in this space because they stop paying their ARIN bill.

 

Eliminating the resale value of these addresses won’t really encourage squatting on them and limiting the size of organization and size of block that can benefit from 4.1.8 further helps to reduce the potential for hoarding.

 

I realize that as a broker, any address that can’t be monetized is a lost opportunity for your organization, but I think there’s plenty of addresses out there that haven’t been processed through 4.1.8, so I don’t think limiting the resale potential of such blocks to reduce fraud is a bad idea.

 

Owen

 







On May 28, 2019, at 12:46 , Mike Burns < <mailto:mike at iptrading.com> mike at iptrading.com> wrote:

 

The percentages of blocks transferred takes a significant leap at the /19 size.

Below that, the percentages are all below 7%.

At /19 and above, the percentages are all above 21%.

Seems like a natural demarcation for maximum block size, but prices do continue to rise.

While we want to fight fraud, we should still remember the underlying reasons for the Ipv4 transfer market apply to these addresses as well.

That is, the market provides incentives for efficient use and accurate registration.

 

Regards,
Mike

 

 

 

 

From: ARIN-PPML < <mailto:arin-ppml-bounces at arin.net> arin-ppml-bounces at arin.net> On Behalf Of John Curran
Sent: Tuesday, May 28, 2019 1:53 PM
To: ARIN-PPML List < <mailto:arin-ppml at arin.net> arin-ppml at arin.net>
Subject: [arin-ppml] Waiting List IPv4 blocks transferred after issuance
Importance: High

 

Folks - 

 

It occurred to me that it might be useful to have a quick summary of waiting list blocks issued and subsequently transferred. 

 

Attached is the distribution (count per prefix size) of all blocks that have been issued via ARIN's waiting list policy and subsequently transferred via NRPM 8.2/8.3/8.4 policy.

 

FYI,

/John

 

John Curran

President and CEO

American Registry for Internet Numbers

 

 

 

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