I keep hearing the same thing from infrastructure teams: "We completed our cloud migration years ago, but our old IPv4 allocations are just sitting there."
Here's what most don't realize: those "old allocations" could be generating $30,000 to $300,000+ annually in passive revenue.
Let me show you the math.
The Market Reality Check
Current IPv4 leasing rates sit around $0.38-0.45 per IP per month. That translates to $4.56-5.40 per IP annually.
For a /24 block (256 addresses):
- 256 IPs × $0.40/month = $102 monthly
- Annual revenue: ~$1,200
For a /20 block (4,096 addresses):
- 4,096 IPs × $0.40/month = $1,638 monthly
- Annual revenue: ~$19,650
For a /16 block (65,536 addresses):
- 65,536 IPs × $0.40/month = $26,214 monthly
- Annual revenue: ~$314,000
These aren't theoretical numbers. Universities, ISPs, and enterprises are already doing this.
Who Actually Owns These "Forgotten" IPs?
You might be surprised how many organizations are sitting on unused IPv4 space:
Legacy allocations from the 1990s-2000s — Before RIRs enforced strict justification policies, many organizations received far more addresses than they actually needed.
Post-merger redundancy — Company acquisitions often leave overlapping address space that becomes redundant after network consolidation.
Cloud migration leftovers — Moving workloads to AWS/Azure/GCP means those on-prem server IPs are no longer needed.
Over-provisioning from growth periods — Rapid expansion often led to "better safe than sorry" IP allocations that never got fully utilized.
Finding Your Unused Blocks
Start with your RIR portal:
- ARIN (North America)
- RIPE NCC (Europe/Middle East)
- APNIC (Asia-Pacific)
- LACNIC (Latin America)
- AFRINIC (Africa)
Look for:
- Ranges that haven't seen BGP announcements in years
- Subnets with no active WHOIS contact updates
- Allocations that predate your current infrastructure
Pro tip: Run a WHOIS lookup on your registered ranges. If you see allocation dates from 15+ years ago, there's a good chance portions are unused.
The Reputation Factor
Not all IPv4 blocks are equal. Reputation matters enormously.
Clean blocks (no abuse history, no blacklists):
- Lease at premium rates
- High utilization (80-90%)
- Minimal vacancy periods
Compromised blocks (spam history, blacklisted):
- Heavily discounted or temporarily unleaseable
- Requires cleanup (time + money)
- Lower utilization until reputation recovers
Before monetizing, check your block's reputation:
- Query major blacklist databases (Spamhaus, Barracuda, SORBS)
- Review abuse desk history
- Check mail server reputation scores
If your block is clean, you're in excellent position. If it's compromised, factor cleanup costs into your monetization strategy.
Block Size Economics
Different block sizes behave differently in the market:
/24 blocks (256 IPs) — Most liquid, easiest to lease, quick deployment. Perfect for most tenants. Annual revenue: ~$1,200.
/22 blocks (1,024 IPs) — Good balance between volume and manageability. Still very liquid. Annual revenue: ~$4,900.
/20 blocks (4,096 IPs) — Enterprise-scale, steady demand from data centers and cloud providers. Annual revenue: ~$19,650.
/16 blocks (65,536 IPs) — Largest allocations, narrower buyer pool, often lower per-IP rates due to bulk discounting. Annual revenue: $250,000-350,000.
Smaller blocks lease faster but generate less total revenue. Larger blocks generate substantial income but may have longer vacancy periods between tenants.
Regional Rate Differences
Geography affects pricing significantly:
APNIC (Asia-Pacific): Highest rates, sometimes exceeding $0.60/IP monthly. Strong demand from expanding cloud infrastructure in Singapore, Japan, Australia.
RIPE (Europe): Mid-range rates around $0.40-0.45/IP monthly. Mature leasing market with established platforms.
ARIN (North America): Similar to RIPE, $0.38-0.45/IP monthly. More restrictive policies but strong demand.
AFRINIC (Africa): Lowest rates but emerging market. Less developed infrastructure = less demand currently.
If you own blocks in multiple regions, APAC allocations should be your first priority for monetization.
Lease vs. Sell: The 10-Year Timeline
At current market rates:
Selling a /22 block (1,024 IPs):
- Sale price: ~$25/IP = $25,600 one-time
- Timeline: Immediate liquidity
- Ownership: Gone permanently
Leasing the same /22 block:
- Annual revenue: ~$4,900
- 10-year total: ~$49,000
- Ownership: Retained (can still sell later)
Leasing typically breaks even with selling around year 5-6, then continues generating income indefinitely.
The strategic advantage? You keep the asset. If IPv4 prices rebound, you can sell later at appreciated values while having collected lease income the entire time.
The Technical Setup (Easier Than You Think)
Most people overestimate the complexity. Modern platforms automate almost everything:
Traditional manual approach:
- Issue LOAs (Letters of Authorization) for each tenant
- Update WHOIS records manually
- Configure RPKI validation
- Monitor routing announcements
- Handle abuse complaints
- Manage contract renewals
Platform-automated approach:
- Tenant screening: Automated
- Routing authorization: One-click
- RPKI validation: Built-in
- Abuse monitoring: AI-driven 24/7
- Billing & payments: Escrow-secured
- Contract management: Standardized templates
The operational overhead is minimal when using established platforms. You're not running a NOC team—you're listing an asset on a marketplace.
RIR Compliance Reality
Each Regional Internet Registry has different policies:
RIPE NCC: Most flexible for leasing. Assignments and sub-allocations broadly accepted. Minimal bureaucracy.
ARIN: More restrictive. Leasing must be framed as "customer assignments" tied to network services. Requires justified-need documentation.
APNIC: Moderate restrictions. Leasing possible with proper justification and accurate WHOIS reporting.
Most platforms handle compliance automatically, but understanding your RIR's stance helps set realistic expectations.
The Risks (And How They're Mitigated)
Reputation damage — A bad tenant can blacklist your entire block. Solution: Thorough tenant screening, automated abuse detection, 24/7 monitoring.
Payment issues — Missed payments disrupt cash flow. Solution: Escrow systems, prepaid terms, automated billing.
Technical complexity — LOAs, DNS delegation, RPKI setup. Solution: Platform automation handles 95%+ of technical work.
RIR compliance — Policy violations risk penalties. Solution: Platforms maintain compliance automatically with all five RIRs.
With proper platform selection, these risks become negligible operational details rather than deal-breakers.
The Starting Point
If you're considering IPv4 monetization, here's the practical first step:
Week 1: Audit (2-3 hours)
- Log into your RIR portal
- Document all registered blocks
- Identify unused/underutilized ranges
- Check reputation status
Week 2: Calculate (1-2 hours)
- Use block size to estimate annual revenue
- Compare lease vs. sell scenarios
- Factor in your specific region's rates
Week 3: Platform Research (2-3 hours)
- Compare major platforms (IPXO, IPbnb, etc.)
- Review fee structures (typically 12-17%)
- Check automation capabilities
Week 4: Tax/Legal Consultation (2-4 hours)
- Understand lease income tax treatment
- Review compliance requirements
- Get professional advice before signing contracts
Total time investment: ~10 hours to understand your full monetization potential.
The Bottom Line
IPv4 monetization isn't speculative—it's a mature market generating over $105 million annually and growing 15-20% per year.
Your unused blocks aren't dead infrastructure. They're working capital capable of generating passive income indefinitely.
The market exists. The demand is proven. The platforms are mature.
The only question is: how long will you leave that revenue on the table?
Exploring IPv4 monetization? Check out platforms like ipbnb.com that handle tenant screening, routing automation, reputation monitoring, and RIR compliance—making leasing operationally simple.
Have you monetized your IPv4 holdings? What's been your experience with leasing vs. selling? Share your insights in the comments.
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