When you think of investing, stocks, real estate or cryptocurrencies probably come to mind. But did you know that IPv4 addresses can also be an interesting investment these days? Due to the scarcity of available IPv4 addresses, demand and thus value is rising. In this blog, we look at the possibilities and benefits of investing in IPv4 addresses.
What is IPv4 and why is it scarce?
IPv4, or Internet Protocol version 4, has been used since the 1980s to identify devices on the internet. Every computer and smartphone needs a unique IP address to send and receive data. However, a problem is emerging. This is because IPv4 offers only 4.3 billion unique addresses and almost all of them are in use.
The huge growth in internet usage and the rise of smart devices have made IPv4 addresses scarce. And as we know, scarcity often leads to an increase in value.
Why are IPv4 addresses a worthwhile investment?
The scarcity of IPv4 addresses creates an interesting investment opportunity. Companies such as ISPs and data centres still need many additional addresses to expand their networks. As a result, the market for trading IPv4 addresses has grown considerably.
IPv4 addresses can be seen as a scarce commodity whose value keeps rising as long as demand remains high. Compare it to real estate, for example. No more new IPv4 addresses are being made, so the price of available addresses rises.
How can you invest in IPv4 addresses?
If you are interested in investing in IPv4 addresses, you can look for companies or organisations that have unused addresses and are willing to sell them. A more accessible option is to use a platform that specialises in IPv4 addresses. For example, you can buy, or sell IPv4 to Prefixbroker.com, if you want to start investing, or if you have unused addresses.
Advantages of investing in IPv4 addresses
- Rising Value: due to the limited supply of IPv4 addresses and the continuing demand for internet connections, prices have risen sharply in recent years. Companies looking to expand their networks often have no choice but to purchase additional addresses. This creates constant demand, so the price per IP address continues to rise.
- Low Volatility: unlike riskier markets such as stocks or cryptocurrencies, the market for IPv4 addresses is relatively stable. Demand for IP addresses remains constant as more and more devices are connected to the internet. This predictable demand makes IPv4 an investment with low volatility.
- Accessible: investing in IPv4 addresses has become much more accessible thanks to specialised platforms. These platforms act as intermediaries and make it easy to buy or sell IPv4 addresses, without the need for in-depth technical knowledge. This makes the market for IPv4 addresses not only for large companies, but also for smaller investors.
