I like hobbit.world

I suppose it depends on if you are focusing primarily on Hobbit or all of Tolkien's works. If the former, then hobbit.world. If the latter, then maybe tolkien.world would be a solid option as @[email protected] suggested.

From the two TLDs, .world sounds like a great choice for something interest-related, like a small world that one can dive in temporarily to escape the real one. .life could also work, but sounds more all-encompassing, perhaps more suited to something that influences the majority of your life (like a profession or a life's work).

Both hobbit and tolkien are good choices, like others have mentioned this can be used well to communicate the focus of the instance.

Good luck with the setup!

Either sounds cool, I like hobbit.world better (tolkien.life sounds autobiographical), good luck with setting up an instance, if that's what you're doing.