After we released the version 2.3 which included the ability to cloak affiliate links we received some reports from users that they experienced some problems with the cloaking.
We investigated the issue and we found out that some web hosts have problems with handling some redirections. To fix this we released version 2.3.1 which includes an option in the administration panel that will let users to choose if they want to cloak links or not.
You can download version 2.3.1 from wordpress plugin directory.