Domainsquatting is the act of buying up domains that other people may want to use (like microsoft.com) and then selling it to an interested party for a fee. People have made millions of dollars building up portfolios of domains and then selling them off.  The problem is that many of the obvious names are already purchased or in use.  You would need to be pretty creative to figure out what names could be of value down the road.Â
Typosquatting is the act of buying up domains that are misspellings of real websites (like www.mikrosoft.com) and then adding a bunch of ads and links that make the person money when clicking on them. Again, many of the obvious misspellings of many legit sites are already in use. Quite often, the site looks like a search results page where there are links to many of the intended destinations. Each click provides $$ into the pocket of the owner of the typo-site.
Not a very admirable or honourable way of making a living. But it sure would be easy coin.
Without even looking too hard, here are a few examples:
www.gqbush.com – maybe somebody will mistakenly hit the q instead of the w.
www.canadaliberals.com – hmm, this one might be worthwhile.
www.canadandp.com or www.canada-ndp.com – probably not much interest there anyway 😉