An affiliate for Bidify called for a "recruitment strike" on October 20, citing persistent issues with the Towah payment processor for US-based members. The affiliate urged others to cease recruiting until Bidify implemented alternative payout options like Payza or Solid Trust Pay.
Bidify had previously restructured its compensation plan following the Zeek Rewards Ponzi collapse. The company removed its original plan, concerned it might be viewed as a Ponzi scheme by US authorities. It then switched from a "Ponzi points" model to one focused on the retail sale of bids. This move aimed to establish if a penny auction could sustain an MLM-style compensation plan without being a clear Ponzi coverup. Bidify has since continued operations, seemingly navigating the regulatory aftermath.
Despite this restructuring, problems emerged with the Towah payment processor. Affiliates reported difficulties withdrawing their earnings. Frode Jorgensen, Bidify's Chief Creative Officer, acknowledged on a conference call that "all payments were easy to make except for U.S. customers." He stated it was "harder to get a payment to someone in the U.S."
Bidify has not yet provided an alternative payment processor for its US affiliates. On October 15, the unnamed affiliate called on Jorgensen to "implement Payza at least to help the people in the U.S. get paid." A week later, with no solution, the affiliate announced the recruitment strike.
"I am not going to recruit anyone into Bidify until Frode puts Payza and Solid Trust Pay into place as payout options that can compete with Towah," the affiliate stated. The affiliate argued that Towah's difficulty in processing withdrawals gave Bidify an advantage by keeping it as the sole option. The call extended to all affiliates: "I ask all of you to go on strike with me and not recruit anyone until Bidify puts Payza and Solid Trust Pay into place as both payment and payout options."
The affiliate highlighted that "hundreds upon hundreds of affiliates" faced problems getting money out of Bidify. A week after the initial call, the affiliate reiterated the strike message, noting an "outpouring of Bidify member support." The goal was to make Jorgensen "feel the effect of the lack of recruiting" and force the implementation of Payza or Solid Trust Pay. The affiliate suggested this might be the "only way we can force him to do something that should have been done long time ago."
This focus on recruitment as leverage raises questions about Bidify's business model. If retail customers and their bid purchases formed the company's core, one might expect a strike on customer acquisition to be more impactful. Instead, affiliates chose to halt recruitment of new members. This suggests that affiliate recruitment may remain a significant component of Bidify's perceived health.
An individual identified as "HerculesUnchained" on the MoneyMakerGroup forum advised those participating in the strike to "contact (him) by private message only so you do not reveal on this forum that you are joining the strike against Frode by not recruiting." This indicates concern over potential company retaliation. Bidify has not publicly addressed the payment processor issues or the proposed strike.