Yes. Chinese, Korean, Arabic, Hebrew, and other characters are coming to Internet domain extensions thanks to a vote by ICANN. Previously, ICANN allowed the registration of domain names with non-Latin characters—so, for example, http://clintecker他的新自行车骨骼山羊.com—but the extension had to remain in Latin characters. Now, instead of being limited to the Latin alphabet, domain extensions will utilize some 100,000 new characters. http://clinteckergoatbonedbyhisnewbicycle.كوم could become a reality sometime in 2010. (Ars)

But Gruber’s url shortener ✪df.ws already made me curious long time ago. Here’s what I do at the time to make something like that:

• Go to who.godaddy.com
• Enter my Unicode character for example ♫♪.com
• And I find this: Domain Name: XN–L6HB.COM
• Now I make that as my subdomain: XN–L6HB.margjakob.net = ♫♪.margjakob.net

But then again, I found out that’s Punycode. iWantMyName have the converter. For now, I found it nice only for url shortener. I can’t type the character directly in address bar, not even with Snow Leopard symbol and text substitution.