Having just jumped from Google to Nameheap this is more than mildly frustrating.
edit: apparently this is the result of Verisign putting up their wholesale prices
this post was submitted on 21 Aug 2023
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Upstream costs are indeed going up as you implied, and Namecheap has razor thin margins.
Part of the deal with services providing bare-minimum prices is that the consumer takes on supplier costs when they arise. Same in all thin-margin businesses.