Unlocking Hidden Treasures: DeSales University Profits From Forgotten IPv4 Assets

DeSales University Find Millions In IPv4 /16 Block Sales

The business of selling and buying public IPv4 addresses is currently on its full-scale swing as this depleted source of technology is in high demand. There are currently tech companies that dedicate their expertise solely in brokering a successful transaction between two companies looking to buy and sell their public IPv4 addresses.

But even with the frantic buying and selling of IPv4 addresses, it’s still an industry that doesn’t get enough spotlight which means there are companies and institutions that own these assets without knowing their actual worth.

Sitting On A Goldmine

DeSales University, a private, non-profit school based in Pennsylvania has recently been in the news in the IPv4 industry because of their latest sale. But this is not just a regular sale - the school was not fully aware of the potential millions they were sitting on before a closer look into it.

According to the report by University Business, Mark Albert, the school’s CIO has been receiving emails that look like a “Nigerian Prince scam” because of the inquiry of their IPv4 assets. Albert took a closer look at this found out they are actually sitting on an asset worth millions:

“Thanks to a bulk purchase made decades ago, DeSales just happened to be sitting on a “/16 block” of IPv4 addresses. In layman’s terms: roughly 65,000. DeSales sold their entire block in exchange for about 300 new addresses—and a cool $2.5 million.”

A /16 block refers to a CIDR or Classless Inter-Domain Routing notation of the first 16 bits of the block and all the IP addresses included in it. For example, 192.128.0.0/16 block means every IP address from 192.128.0.0 to 192.128.255.255 is included in a single block - and they are often under a single owner just like DeSales University.

DeSales University worked with IPClear.co in securing this type of transaction and they have recently announced the transaction through their Press Release:

“The collaboration focused on achieving multiple objectives, including the monetization of IPv4 addresses, enabling DeSales University to generate substantial one-time revenue.”

More than Earnings

The sales of their IPv4 /16 block has not only worked to the university’s advantage financially.  By limiting their number of IPv4 addresses, they were able to beef up their online security because they have limited their IP addresses to a minimum - a lot less network to monitor to prevent potential attacks.

Although they have sold their IPv4 /16 block, the university received in return an IPv6 block with a much larger allocation. While today’s network technology is still hanging on IPv4, the future is clearly on IPv6 and DeSales University has just secured another set of assets.

The World of IPv4 Brokerage

The world of IPv4 brokerage is a sight to behold for many tech experts. As experienced by DeSales University, they have been bombed by emails by various brokers willing to help them get their assets on the market. Since the CIO is not aware of the industry before working on it, these emails are clearly unsolicited.

These brokers are constantly on a “look-out” for public IPv4 addresses as they constantly work with buyers and sellers of IPv4 addresses. Fortunately, institutions and companies sitting on this type of asset have the flexibility to choose a broker to ensure a smoother transaction.

However, it is also important for IPv4 address owners to ensure the sale of these blocks are made to those in line with their values. In the case of DeSales University, they did not disclose their buyers although they indicated that the highest bidders are from IT and utility companies.