can not register with a .is domain

I was trying to register for an account using an email address on .is (Iceland) domain. I got an error saying IllegalArgumentException: Undeliverable email address.

As you can see from the screenshot supplied the website also asked me if I did mean .es but I pressed No and nothing happened.

This is probably also related to another issue I have that I cant buy Ralms with an Icelandic credit card. That problem has not been resolved. 

I would guess that your database somehow does not include Iceland and the .is domain. 

Hope you are not excluding some countries from buying your products.