The Cost and Risk of Non-Escrow Domain Transactions

Based on a recent blog post, it appears many Efty power users have long requested Stripe as a payment method to instantly collect payments from domain transactions.

Although a great product that is thriving, simplifying, and increasing the odds of a domain investor’s portfolio realizing profitable ROI, I personally don’t use Efty but have followed the company and its product from day one.

However, Doron and team have done a stellar job providing affordable domain sales and marketing services for domain investors to manage and turnover their domain portfolios.

Efty now offering Stripe provides domain investors with instant payment collection, but at what cost and risk? 🤔

This isn’t a slight towards or criticism of Efty, but a question that domain investors should consider when using a non-escrow services to conduct domain transactions.

You may receive payment fast, but what about chargeback disputes that might leave you empty handed without domain and sale proceeds?

In fact, you could end up coming out of your pocket more when considering stop payments or other related transaction fees are imposed.

Efty offering Stripe as instant payment collection reminded me about the importance of domain investors using accredited escrow services to conduct domain transactions.

It was only a few weeks ago that Richard Dynas, domain investor that sold for $146K Gross Profit, shared his story about how he was scammed out of thousands of dollars for

It’s certainly worth a read for domain investors doing business without an accredited escrow service to ensure the transaction and buyer is legit.

Even as I type this and likely for years to come, many domain investors will still choose to perform buying and selling domain transactions using non-escrow payment services such as PayPal and Stripe.

In short, PayPal, Stripe, and others may very well be a universal payment option for many persons and businesses throughout the world, but, in my opinion, doesn’t have the proper controls needed to protect both domain buyers and sellers.

As Efty recommended a number of times in it’s Stripe announcement, “..we always recommended to use a licensed escrow integration such as or Payoneer for high-value transactions.”

Not only do I suggest using licensed or accredited escrow services for high-value domain transactions, but I deem it mandatory for ALL domain transactions, especially when you’ve never transacted with buyer or seller before.

It’s better safe than sorry than to be left without a domain and sale proceeds, while left with unjust cancellation or fraudulent fees, and the feeling of being violated beyond measure.

I want to hear from you! How often do you transact domain agreements not using a licensed escrow in favor of PayPal, Stripe or non-escrow payment service?

Written by Alvin Brown
He's an experienced and passionate serial entrepreneur, founder and publisher of Kickstart Commerce. Alvin possesses a great love for startups dominating their market using profitable digital strategies for greater commerce.