WP Activate Users, BuddyPress, and how to let people register easily?

Where does Users>> WP Activate Users ..... come from?

It does not appear to be a plugin. I have 173 users who were not able to negotiate their way through the WP-BP signup maze. Furthermore, there does not appear to be any way I can Activate these users.

I added Remove Email Verification a week ago but I am still losing people. One reason is while the registration invites people to choose their own password, the registration message then gives them a new random password. Now, which password to choose? I have emails from people saying they are totally confused about this. Now there is no email giving the new user a copy of the generated password. But there is an email telling the user their password is User Chosen ... but this is not true.

I also tried Set Password on WordPress MultiSite Blog Creation but this had no effect on the results.

Are these confusion problems caused by BuddyPress? If so, then BP is self-defeating.

What do you suggest as a clean way to allow people to register and choose their own password, without email verification?

Is there a way to activate the 173 people who attempted to register?