What's the 'Wholesale cost' in domain transfer?

I want to transfer a domain to cloudflare, and the cost breakdown looks like this:
CleanShot 2021-08-28 at 13.22.04@2x

What’s the ‘Wholesale cost’, and why is it so expensive compare to other fees?

It’s the price that Cloudflare have to pay the Registry. In some cases Registrars will discount the transfer price, but the annual renewal can be much more. It can also be a loss leader with some Registrars. In the case of Cloudflare Registrar, it’s the upstream cost with no markup or discount.

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