This is different though, because the user themselves does not get a portion of the income. In fact, click fraud is much less likely with this idea than with current web advertising, because with current web advertising, site owners are incentivized to click on their own ads to generate profit. Under this model, EFF would have to go pretend to be other people and click on everybody else's ads, a pretty long con.
My buddy's brother worked for them, and we each made a couple hundred bucks before it went out of business.
Tl;dr people gamed the system to make a ton of money, and advertisers realized people weren't actually looking at or clicking the ads.