Also known as “Domain Parking”. A parked domain is a domain name that points to your main Web site on your account (ex. if yourdomain.com is your main Web site, you can purchase the yourdomain.net and park it so that if a visitor were to type yourdomain.net they would see the same Web site as if they had typed yourdomain.com).
Another use of domain parking is to be a placeholder of an existing web site. A company might choose to use this method to redirect its website traffic to another web site it owns.
More information regarding wikipedia’s parked domain
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