The Mess Hall

and it sounds like who ever attacked them got complete access to go-daddy back end too.
Cnet are reporting that thousands, if not millions of websites are down, either by changing DNS records, or by crippling go-daddy servers:
http://news.cnet.com/8301-1009_3-575097 ... nt-attack/

go-daddy.com has been attacked by the public before for very nasty marketing tactics. One of which is if you search for a domain name, but don't immediately purchase it, go-daddy will, then charge you extra to transfer it to you.

serves them right lol

am interested in the DNS side tho, if they cripple there servers would it effect domains pointing to Nameservers or DNS Records.

My understanding (What is small on the matter)
that if 123-reg went down and all my domains are with them, then none of my sites would go down, as its not them who store the DNS Settings etc.

they just handle the changes.

Correct me if am wrong, it was my assumption anyway

yeah, but if they deleted or moved DNS records, then that would eventually move the routing elsewhere, maybe they moved everything to localhost?

It could also have been done days/weeks ago, then scripted to cause the problems today.