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If you're talking about people who write that in their name selling thread, it means that once a name has been freed up, anyone can take the name. For example, if someone is selling the name 'X':

The name 'X' gets changed to 'Gf X', so 'X' is the previous name.
The new name 'User X' gets changed to 'Gf X2', so the name 'X' is free for someone to take.
The person who is buying 'X' does not manage to get the name, but someone else manages to take it, so the name 'X' is said to have been sniped.

Sniping a name is basically when someone manages to take (snipe) a rare name whilst someone is selling/transferring it.
 
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The name gets taken by someone else as soon the name become free.
 
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Are there bots that do this? If so, it'd probably be impossible to get a name transferred without a bot sniping it.
 
It just means you needa be careful when transferring the name. If someone steals the name mid-transfer, they refuse responsibility. It isn't too big a problem unless the name in question is extremely rare/high demand. The less people who know about the name transfer, the better.
 
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