EDIT: Looks like DynDNS recently got rid of their free offering. I wonder if that was related to this?
It offers a DNS service for your domain and the ability to share your domain with others.
You can't seize the 100.000 domains being shared and used by bot nets so the only easy target was no-ip.
What i find extremely troubling is the domains being handed over to another corporate entity this mechanism is just ripe for abuse.
EDIT: Looks like DynDNS recently got rid of their free offering. I wonder if that was related to this?