Why it matters
An IDN lets a business use its name in its own script. For example, münchen.de is stored as xn--mnchen-3ya.de. Support in browsers, email and apps has improved but is still uneven. IDNs also bring lookalike risk, since some characters look alike across scripts. For buyers, an IDN can be a strong local brand asset. For sellers, the buyer pool is smaller and often regional. A common mistake is expecting an IDN to behave like an English name for email or search. Test it in the apps your customers use.
Source: icann.org