SurgePays, Inc., a fintech and mobile virtual network operator serving the approximately 138 million subprime consumers in the United States, today announced the launch of a 25,000 Activation Pilot to integrate the Alpha Cash mobile wallet across SurgePays’ distribution surface, under a multi-year Commercial Integration and Distribution Agreement with Alpha Modus Holdings, Inc. (NASDAQ: AMOD). The pilot is the first of a planned series of programs designed to monetize each subprime consumer SurgePays acquires across its three distribution channels. Each consumer the Company acquires can now be paired with additional life enhancing financial and benefit products distributed through the same platform.
SurgePays reaches the subprime consumer through three distribution channels: a proprietary point of sale platform deployed across approximately 9,000 convenience store retail locations nationwide; the Company’s wholly owned prepaid wireless brands LinkUp Mobile and Torch Wireless; and the ProgramBenefits.com platform, which will prioritize Alpha Cash in its AI driven decisioning across the financial and benefit products it offers. Each of these channels delivers a verified, know your customer (KYC), validated subprime consumer that SurgePays has already paid to acquire. Upon launch, the Alpha Cash pilot is designed to layer a second revenue stream onto every consumer who chooses to enroll: a $10 per activation bounty up front, plus a 10% revenue share on net revenue from each funded wallet user for five years. The pilot is capped at 25,000 funded activations under a $250,000 bounty pool, with rollout beyond the cap requiring a new definitive agreement so that both companies can validate pilot economics before expansion.
Key terms of the executed pilot agreement:
- $10 per activation bounty on each qualifying funded activation.
- $250,000 fixed bounty pool across the 25,000 activation cap.
- 10% revenue share on net revenue from each enrolled wallet user.
- 5 year revenue share period per enrolled user.
- $25 minimum funded load required to qualify as an activation.
- Roll out beyond the 25,000 activation cap requires a new definitive agreement, allowing both companies to validate pilot economics before expansion.
What the pilot is designed to evaluate:
Beyond its standalone economics, the 25,000 activation pilot is structured as a controlled framework for SurgePays to evaluate the variables that will determine the rollout cadence of additional consumer financial and benefit programs: the optimal pay schedule structure (per activation bounty versus pure revenue share versus blended), the appropriate revenue share rate and tail duration, the impact on customer acquisition cost when monetization is layered onto an already acquired wireless customer, and the cash flow timing between bounty receipts and revenue share recognition. SurgePays believes the data generated by this pilot will be directly applicable to subsequent programs across additional life enhancing product categories.
The Alpha Cash integration is engineered to operate across SurgePays’ distribution surface as a whole. The Company will sequence the rollout to begin inside the ProgramBenefits.com platform, where consumer KYC data and engagement are already captured, and will extend the integration into LinkUp Mobile, Torch Wireless, and the convenience store retail channel as pilot performance is validated. Qualifying funded activations across these channels count toward the 25,000 activation cap. Initial activations under the pilot are targeted to begin in the second half of 2026.
Brian Cox, Chief Executive Officer of SurgePays, commented “SurgePays reaches the subprime consumer through three distribution channels: prepaid wireless, our point-of-sale platform across approximately 9,000 convenience stores, and the ProgramBenefits.com platform. The opportunity in front of this Company is to put more life-enhancing products in front of every subprime consumer who flows through those channels, including financial products, benefit programs, and savings tools, and to earn a revenue share on each one. The Alpha Cash pilot is the first deliberate step in that direction. It is also a learning vehicle. A cohort of 25,000 funded activations is the right scale to evaluate which pay schedules, revenue share structures, and product types translate into the strongest impact on the cost to acquire customer (CAC), cash flow, and revenue per consumer. The principle is simple. The more we earn per individual customer, the more we can spend acquiring the next one, and the curve compounds. This pilot is the first proof point of that model. We expect it to be one of many.”
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