Bidify, an affiliate-funded ROI scheme tied to its Bidsson penny auction platform, is abandoning all US operations. The company announced it will move its entire business to Europe, with major website updates scheduled for June 3rd. This shift follows earlier struggles to attract genuine retail customers.
The company's business model centered on an affiliate-funded ROI scheme. It had undergone multiple compensation plan revisions, attempting to balance returns for investors with the theoretical possibility of payments from retail customers. However, Bidify primarily attracted participants who were "Zeek Rewards refugees" and other former MLM participants. This affiliate base made genuine retail sales highly unlikely to materialize.
Bidify's v2.0 compensation plan failed to gain traction. The company struggled significantly to attract retail customers for its Bidsson penny auction business. Former Bidsson CEO Albert Liske publicly declared the company a Ponzi scheme, further damaging its standing. An "amicable resolution" between Liske and Bidify, reached February 11th, provided no public details regarding its terms.
Business operations have since stalled, with activity grinding to a halt. Yesterday, Bidify issued a press release stating it was "getting ready for the full launch of everything we have been working really hard on for the last months." Both Bidify and Bidsson websites will go offline on June 3rd for "MAJOR UPDATES" before relaunching.
The company stated the move to Europe "simply makes more sense" for management and operations. It noted that "the management and ownership of the company are all Europeans." This explanation raises questions about Bidify's initial decision to establish a virtual office in the US when the company launched.
Bidify initially maintained a virtual US presence to ease concerns of prospective affiliates about joining an offshore company. This was during the peak of the Zeek Rewards era, when many participants sought new opportunities. The landscape for MLM companies using Ponzi points-based revenue-sharing plans has since changed considerably. Due to questionable legal statuses, most remaining companies in this niche are now based offshore. Bidify now joins this list.
Bidify described the relocation as "beneficial" but offered no further comment on the specific advantages of operating from Europe. The company did ask its remaining affiliates to "stay tuned for tomorrows update, where we will explain how this change will affect old and new Affiliates in a positive way."