Soteria Protocol

Dirt Conversion, Fee Capture and Reward Overview

The Soteria Protocol generates yield by deliberately routing value through its own liquidity infrastructure. Devalued tokens entering the system are first swapped into $TERMS through Soteria’s TERMS/WETH pool. This routing is intentional. By directing all protocol swaps through the same pool, Soteria ensures consistent fee capture while establishing $TERMS as the central asset of the ecosystem.

After acquiring $TERMS, users may choose to provide liquidity directly into the Soteria TERMS/WETH pool. When liquidity is added, the protocol performs an additional internal swap to balance the correct ratio of $TERMS and WETH required for deposit. This process generates further swap fees inside the same pool, reinforcing fee capture without introducing external routing dependencies.

Liquidity providers receive LiquidTERMS, which represent a claim on the automated liquidity position. When users later remove liquidity, their position is unwound and converted back into 100 percent $TERMS through the same TERMS/WETH pool. This design consolidates exits into a single asset, simplifies accounting, and ensures all liquidity lifecycle actions continue to generate swap fees within Soteria’s core pool.

LiquidTERMS can be staked, reducing the circulating supply of $TERMS while still allowing participants to earn $TERMS staking rewards. In addition, users who stake the LiquidTERMS receipt tokens receive a share of the fees earned from Soteria’s automated pool management fee. This aligns long-term staking behavior with protocol revenue rather than inflationary emissions.

By routing swaps, deposits, rebalancing, and exits through a single pool, Soteria captures value at every stage of the liquidity lifecycle. Yield is derived from real trading activity and disciplined management, not from unsustainable token emissions. This approach creates a closed economic loop where usage, liquidity, and rewards reinforce each other while preserving capital efficiency and long-term resilience.