Selling IPv4 Addresses: How Block Size Affects Demand and Pricing 

Selling IPv4 addresses has become a valuable opportunity for organizations with unused IP space. However, determining the best block size to sell depends on several factors, including market demand, pricing trends, and buyer preferences. Choosing the right block size can significantly impact the speed of sale, pricing competitiveness, and overall transaction efficiency. 

This blog will explore which IPv4 block sizes are most in demand, how pricing varies, and what sellers should consider before listing their IP addresses for sale. 

1. Understanding IPv4 Block Sizes

IPv4 addresses are sold in blocks of varying sizes, measured using CIDR notation (Classless Inter-Domain Routing). The most common block sizes available on the market include: 

• /24 (256 addresses) 
• /23 (512 addresses) 
• /22 (1,024 addresses) 
• /21 (2,048 addresses) 
• /20 (4,096 addresses) 
• /19 (8,192 addresses) 
• Larger blocks (e.g., /18 /17, /16) 

Each block size has different market demand, pricing, and buyer interest, making it important for sellers to choose the best fit for their goals. 

2. Market Demand: Which Block Sizes Sell Faster?

IPv4 market demand fluctuates, but generally, smaller blocks sell faster than larger ones. 

• /24 is the most in-demand block size because it is the smallest transferable block at all Regional Internet Registries (RIRs). Many small-to-medium businesses, ISPs, and cloud providers need only a /24 block to meet their network requirements, making it highly liquid and easy to sell. 
• /23 and /22 block sizes also see strong demand, particularly from organizations looking to scale up their networks while keeping costs manageable. 
• Larger blocks, such as /20 and up, tend to attract serious buyers like enterprises, data centers, and ISPs with significant infrastructure needs. While these blocks can command strong overall pricing, they typically take longer to sell due to a smaller buyer pool. 

3. Pricing: Does Block Size Affect Value?

Pricing in the IPv4 market is normally influenced by block size, demand, and preference for in-region transfers. Smaller blocks generally command higher broker commissions, as brokers work as hard to transfer a /24 as a /16, but the transaction size is different by a factor of 256 in that case. 

• /24 blocks often sell at a premium per address because they are in high demand and the purchasing decision to buy a /24 can often be done at a lower management level.  
• Larger blocks may have a lower per-address price because buyers purchasing in bulk expect a discount and are generally market savvy, with professional procurement processes. However, selling a large block all at once can be a more convenient option for sellers who want to complete a single transaction. 
• Breaking a larger block into smaller /24, /23, or /22 subnets could potentially yield higher returns overall, but it requires more time and effort to complete multiple transactions. 

4. Scalability and Network Infrastructure Considerations

Before selling IPv4 addresses, organizations should consider how their network infrastructure might be affected by parting with certain block sizes. 

• Are the blocks routed in use? Ensure that selling an IPv4 block won’t disrupt current network operations. 
• Will your organization need IPv4 addresses in the future? If so, it may be wise to hold onto some addresses or lease them instead of selling. 
• Does breaking up a block make sense? While smaller blocks sell faster, fragmenting a large block into multiple smaller ones could lead to inefficient routing and increased administrative overhead. 
• Have a numbering plan in place and confirm that none of the IPv4 addresses are in use by shutting down the routes for the blocks you wish to sell and ensuring that nothing breaks. 

5. Regional Internet Registry (RIR) Transfer Rules

Each RIR has specific policies governing IPv4 transfers. Before listing an IPv4 block for sale, check the transfer eligibility rules for ARIN, RIPE, APNIC, LACNIC, or AFRINIC. 

• Minimum Transfer Size: All RIRs set a minimum transferable block size. For example, /24 is the smallest block allowed for transfer of ownership, because it is the smallest size block that is routable in today’s BGP environment. 
• Justification Requirements: Some regions require buyers to demonstrate justification for IPv4 usage, which may affect the speed of the transfer. 
• Inter-RIR Transfers: Selling IPv4 addresses across different regions may require additional steps, fees, or compliance measures. 

Understanding these policies ensures a smoother transaction process and avoids delays. 

What’s the Best IPv4 Block Size to Sell? 

The best IPv4 block size to sell depends on how quickly you want to sell, your pricing strategy, and the type of buyers in the market. 

• If you want to sell quickly, /24 blocks move the fastest and tend to command a higher per-IP price due to strong demand. 
• If you prefer a single, high-value transaction, selling a larger block (e.g., /20 or larger) is a good option, though it may take longer to find the right buyer. 
• If maximizing overall revenue is your priority, breaking a larger block into smaller ones could yield higher total returns, but it requires more time and effort to manage multiple sales. 

Regardless of block size, working with an experienced IPv4 broker ensures a smooth, secure, and profitable transaction. 

Sell Your IPv4 Blocks with Confidence 

Whether you’re looking to sell a single /24 block or an entire /16 range, working with an experienced IPv4 broker ensures a smooth, secure, and profitable transaction. At IPTrading, we help organizations sell IPv4 addresses while navigating market demand, pricing trends, and RIR policies. 

Visit IPTrading.com to learn more about selling your IPv4 blocks or to get expert guidance on maximizing the value of your IP assets.