I'm aware of the possibility of filing UDRP [1], but that option is only available if a specific trademark is being infringed upon. But the problem of domain squatting goes farther than that. An incredible amount of short, descriptive and potentially useful domains are being squatted and rendered unusable to anybody who isn't willing to take the risk of making a substantial investment in the domain name.Some will probably argue this is a good way to determine the value of those domains, but its actual effect is that, what is probably a majority of useful domain names, are completely unused for any kind of productive or otherwise valuable purpose.
[1] https://www.icann.org/resources/pages/filing-udrp-2013-05-21-en