How is it that a website like namecheap or GoDaddy have domains to sell? I'm curious to understand that part of the "plumbing".

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If a domain name isn’t reserved, they will create one on your behalf using a specific TLD registrar for that extension. Technically, you are leasing it because you can’t actually own one unless you are the TLD. That’s why there’s an annual fee. https://en.m.wikipedia.org/wiki/Top-level_domain

Thank you again!