EBay is discontinuing a 2-year-old incentive program for sellers and partners in the U.S., the company announced.

“Anything Points,” which operates like a frequent flyer program, will be phased out by Feb. 28, the company said. Points earned under the program will be honored through August 2006.

The incentive program lets sellers and eBay partners such as Netflix, Hilton Hotels and Priceline, award points worth a penny apiece that customers can redeem for eBay purchases from sellers that accept PayPal, an eBay unit. The Anything Points incentive program on eBay Canada will continue, however.

EBay said it would, on Sept. 30, remove remaining points from listings still offering them.

Our thoughts: Ill-conceived to begin with. eBay is an intelligent company, but erred in thinking that the world needs another loyalty currency to overlay on top of frequent flyer miles. Remind anyone of AOL? Please, no more loyalty currencies.