There should be a conflict resolution to gracefully degrade the third level to 2nd level when there is no competing name on the second level.

But I didn't think about the 1st level competitors. There'd still need a mechanism to resolve that...

1. First come first serve? (e.g. whoever registered a y.name first, whether x is bob or sue is determined by the earliest registrant on record) 2. Lottery/random selection? 3. Bidding war?

I think the problem is 2nd level domains who have the same name will be a problem when they find out all these other 3rd level are now expiring and can run a route to spoof? Likely wouldn't happen, but with the fuckery in the DNS that can happen... This is such a rash and weird decision to push through so quickly just because engineers find it "easier" while ignoring the implications of the move, seemingly when it comes to larger scale security.

I assume there would have to be some method to prevent routing of third level domains to subdomains of two-levels... (or is that just me being a fool yet again, assuming we have competent administration of our systems).