Your question was: I want to buy and sell domain names. Which is the best for this? Sedo or Godaddy or any other site?.
Possibly. But I think that the lack of good domains coming back on to the market was a factor in the craze. If there had been a proper new/deletion cycle then the LLLL.com market would have been a lot smaller.
So, how is this going to affect dropcatch auction sites like Snap and Pool? Don't they taste 10's of thousands of domains every day?..
They will have to concentrate on domains where there are pre-orders and potentially high value domains.
There was a lot of tasting of LLLL.coms when they were available. I kept records on a small segment (3 premium with W) for a while and it was on the level of 20% of the availables about a year before the buyout. It meant that a buyer did not get a complete picture of what was available, thus (IMHO) reducing sales of LLLLs a bit. The reason I was recording them was to pick up domains that were not purchasable when I first looked.
DYYO.com was the most important information source at the time. Their numbers were held for a few days to allow for tasting. So when DYYO stated there were 50,000 LLLLs unregistered that included, say, 10,000 that were being tasted.
I never have seen an explanation why the tasters were so interested in LLLLs - there were several doing it. Perhaps it was because all LLLL.coms get a trickle of traffic. But then why did they not just taste them all?..