ARIN and IPv4 Address Leasing
As organizations explore the option of providing IPv4 address blocks to other organizations independent of connectivity services (commonly known as “IP address leasing”), they need to understand how such activities fit within ARIN’s policies. Whether your organization is a lessor or lessee, it is important to remain in alignment with the current policies in ARIN’s Number Resource Policy Manual (NRPM).
For organizations seeking IPv4 addresses, IP address leasing can be an alternative to purchasing from the market or waiting for resources from ARIN’s IPv4 Waiting List. However, leasing is fundamentally different in that it does not grant permanent registration rights for the addresses to the lessee nor does it ensure network autonomy. Once the lease ends, the lessor can demand that you return and stop using the addresses, which may pose a risk to your organization.
It is also important to note that an intention to lease or utilization based on existing leased address space is not justification to obtain IPv4 address blocks from ARIN under current Internet number resource policy. ARIN’s policies permit IP address issuance to Local Internet Registries (LIRs) that provide network services and connectivity. When evaluating requests, any utilization justification based on leasing will be excluded. NRPM Section 12 permits ARIN to perform a resource review if evidence is found that an organization has obtained IPv4 addresses strictly for leasing by providing false or misleading information.
Certain categories of IPv4 addresses are never eligible for leasing, including micro-allocations for critical infrastructure and public exchange points and reserved IPv4 space to facilitate IPv6 deployment. Organizations seeking to lease IPv4 addresses should ensure the addresses are obtained from the legitimate holder, and organizations planning to lease their excess allocated IPv4 space should follow all applicable policies and record leased addresses as reassignments/reallocations in the ARIN Whois database.
Here are the four most relevant ARIN policy considerations related to leasing IPv4 addresses:
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Address space leased without providing Internet services cannot be used for justification when requesting IPv4 addresses from the Waiting List (4.1.8) or specified market transfers (8.3 and 8.4 recipients). If you are leasing addresses to an organization, you cannot use the leasing arrangement as a reason for requesting additional IPv4 addresses.
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Providing false justification for obtaining IPv4 addresses under any of the policies outlined in 4.1.8, 8.3, or 8.4 may result in your organization being reviewed under NRPM Section 12.2(b). If an organization is found in violation, ARIN may take any of the actions outlined in Section 12, which can include revoking or suspending the organization’s resources.
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Organizations leasing space obtained within policy, but whose needs have changed, must ensure that leased space is recorded following policy pertaining to reallocations/reassignments, paying special attention to 4.2.3.7, 4.3.2.7.1, and 4.3.2.7.2. If an organization obtained IPv4 addresses for a specific purpose but no longer needs them for that purpose, it must follow the relevant policies for reallocating or reassigning those addresses.
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Organizations suspected of leasing IPv4 addresses and not following ARIN policy may be reviewed under NRPM Section 12.2(c). If an organization is found to be in violation of ARIN policies, it may be subject to any of the actions listed in Section 12, which can include revoking or suspending the organization’s resources.
It is important to follow all ARIN policies and related guidance to ensure your organization is not at risk of losing its resources or facing other penalties.
While ARIN’s policies do not allow leasing to be used as justification to obtain IPv4 addresses, leasing can be done if the addresses have been legitimately obtained and subsequently become unused. ARIN’s main concern is not preventing leasing but ensuring scarce IPv4 addresses are not obtained via false pretenses to be leased.
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