Agent registration is the regulatory step by which a licensed payment firm tells its supervisor which third parties provide services in its name, so that they can be recorded and checked. An agent does not hold a license of its own; it operates under the license and responsibility of its principal, and registration is what makes that arrangement lawful.
The details vary by country. In the European Union and the United Kingdom, a payment or electronic money institution must apply to register each payment services agent before it starts work, giving its name and address, the fitness of its managers and its anti-money laundering controls. In the United States, a licensed money transmitter reports each authorized delegate to state regulators, generally through the NMLS, and a federally registered money services business keeps a list of its agents. The principal remains liable for its agents' conduct throughout.