Affiliate

What Is an Agent?

An agent is an intermediary authorized to act on behalf of an organization or brand, handling activities such as promotion, sales, or customer support in exchange for commissions or fees. Agents typically do not own the products they represent—their core role is “representation” and “channel expansion.”

In traditional business settings, agents are often responsible for a specific region or product category. After receiving authorization, they use existing relationships and channels to bring products or services to market. Compared to direct sales, agents can reach local customers more efficiently and reduce market entry costs.

What Does Agent Mean in Web3?

In Web3, an agent refers to an authorized local partner who helps platforms, projects, or service providers expand and support their presence in new markets. Common roles include business development, assisting with fiat onboarding, and distributing mining rigs or node services.

A “broker” in this context acts as a middleman who facilitates user account registration and trading—similar to a traditional securities broker, earning commissions based on user trading volume. “OTC” stands for over-the-counter trading, where transactions occur privately between parties without going through a public order book; agents may help users safely convert fiat to crypto assets.

How Do Agents Operate?

Agents operate on the basis of “authorization—acquisition—service—settlement,” governed by contracts and compliance standards. Authorization sets the scope, duration, and fees; acquisition relies on channels and marketing activities; services include account setup guidance and after-sales support; settlements are handled via commissions or service fees.

The typical process involves connecting with a brand or platform, submitting qualification documents, signing a contract, receiving unique referral links or codes, executing local promotion and client support, and settling earnings based on performance. Agents must also comply with local regulations, such as conducting identity verification and anti-money laundering procedures.

What Value Do Agents Provide?

Agents enable projects or platforms to enter new markets quickly, reduce trial-and-error costs, and enhance local compliance and service quality. For users, agents provide local language support, onboarding assistance, and clearer explanations of fees and rules.

For example, newcomers buying mining rigs or participating in node services benefit from agents explaining payout structures, device maintenance, and associated risks. When opening accounts or making deposits on exchanges, agents help users understand identity verification and transfer routes to minimize errors.

What’s the Difference Between Agents and Distributors?

Agents focus on “representation and service” without the need to purchase products outright; distributors emphasize “buying and reselling,” profiting from price differences. Both expand channels, but differ in responsibilities and financial models.

In Web3, agents act as “authorized local guides,” helping users utilize platforms and services. Distributors are more commonly found in hardware contexts—such as purchasing and managing inventory for mining rigs—and bear the risks of buying and reselling products.

How Do Agents Partner With Gate Exchange?

At Gate Exchange, agents usually collaborate through brokerage or commission-sharing models. They use exclusive referral links to drive registrations and trading activity, earning a share of actual trading volume. Authorized partners may also participate in local educational events and customer support.

For instance, a city-based agent would submit credentials and compliance documents, sign partnership terms, receive a unique referral link, conduct online/offline presentations, assist new users with registration and identity verification, and receive periodic commission settlements as users trade. For fiat deposits, only Gate’s official compliant channels may be used—agents must not bypass official processes by transferring funds to personal accounts.

What Should You Look For When Choosing an Agent?

Selecting an agent requires verifying qualifications, compliance standards, capabilities, and contract terms—ideally through a written agreement that clearly defines rights, responsibilities, and risk controls.

Step 1: Verify qualifications. Check business licenses, authorization documents, previous partnership cases, and client reputation to confirm legitimacy and accountability.

Step 2: Assess compliance. Understand local regulatory requirements to ensure the agent performs identity verification and anti-money laundering procedures using official platform channels.

Step 3: Evaluate capabilities. Review channel coverage, customer service team strength, technical support capabilities, and understanding of product rules and fees.

Step 4: Clarify contract terms. Define the authorization scope, commission structure, settlement cycles, data privacy protections, breach penalties, and exit mechanisms.

Step 5: Establish risk controls. Require payments only to platform-designated accounts; ensure traceability of key actions; implement blacklists/whitelists and early warning mechanisms.

What Risks Do Agents Face?

Agents face risks related to funds management, compliance, and information asymmetry. Financial risks arise if funds are transferred outside official platform processes—for example, to personal accounts—which can result in asset loss. Compliance risks include failure to perform identity verification or anti-money laundering procedures that could trigger regulatory penalties.

Information risks involve discrepancies between promised services and actual delivery, unclear fee disclosures, or exaggerated returns. To mitigate these risks, use official cooperation channels published by the platform, verify authorization documents, retain all communications and transaction records, and fully understand contract terms regarding fees, responsibilities, and exit options.

What Are Future Trends for Agents?

By 2025, agents are evolving from pure customer acquisition roles into “compliance-plus-service” hybrids—placing greater emphasis on identity verification processes, data regulatory compliance, educational content, and deep integration with platform settlement and risk control systems.

In Web3, as regulation and user education increase, agents will participate more in localized learning events, compliant fiat onboarding guidance, and integrated after-sales support. Platforms will manage agent relationships using standardized authorizations and performance data to improve transparency and security.

FAQ

How Do Agents Make Money?

Agents primarily earn income through commissions, rebates, or price spreads. When users trade via an agent’s channel, the agent receives a share of transaction fees. Agents may also profit from the difference between wholesale prices and retail prices. On platforms like Gate Exchange, the main source of income for agents comes from commissions generated by referring new users who open accounts and trade.

Is There a Difference Between Agents and Distributors?

Yes—agents and distributors operate differently. Agents are typically exclusive or regional representatives authorized by brands; they have stronger brand authority and pricing power. Distributors act as wholesale intermediaries who may handle multiple brands. On crypto trading platforms, agents focus on user referrals and channel partnerships while distributors are more involved in product logistics. Choose your cooperation model based on your business scale and resources.

Can Individuals Become Agents for Trading Platforms?

Absolutely—individuals can become agents for trading platforms like Gate. Most platforms have minimal restrictions on agent identity; the main requirements are completing identity verification and agreeing to relevant terms. Individual agents typically use referral links or codes to invite users to open accounts and trade for commissions. However, it is important for individuals to operate responsibly—avoiding false advertising or unauthorized promotional activities.

Do Agents Need to Pay Upfront Costs or Deposits?

Legitimate platforms rarely require agents to pay large upfront costs. Usually agents only need to complete simple registration and verification steps to start earning referral benefits. Certain advanced agent tiers may require meeting trading volume targets or posting a deposit for higher commissions. It’s recommended to discuss specific partnership terms directly with reputable platforms like Gate—and be cautious of agent programs asking for excessive deposits.

How Can You Judge If an Agent Partnership Is Reliable?

Key criteria for assessing agent reliability include: first, confirming whether the agent is recognized by the official platform—verify via the platform’s website or support channels; second, checking that partnership agreements are transparent with clearly defined commission rules; third, ensuring the agent does not engage in false promises or aggressive sales tactics. Partnering with established exchanges like Gate carries lower risk—while unknown or small platforms warrant extra caution when considering agent opportunities.