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Don't let your affiliates hotlink. Even if you have small images and a dirt-cheap bandwidth plan, an affiliate that has tons of shitty traffic and or one who ads your gifs in pop-ups and pop-unders can cost you alot and even slow down your servers.
You are already giving your affiliates lots of tools to promote your products, and you are paying them to do it. If they bitch and moan about wanting hotlinking, ask them to prove their value to you first with a trial. If their traffic doesn't convert, tell them they have to host the images themselves.
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