Open at $1.50. Once $1.50 of fees have accrued, the keeper deposits into the coin's Lighter account and opens the position at the chosen market, side and leverage. Deposits travel as plain USDG transfers to a deterministic intent address; Lighter credits the coin's own account across the bridge.
Top up every $1.50. Every further $1.50 of fees is deposited and put to work at the same leverage, as a market order with a 2% slippage cap.
Losses. If price moves against the position, nothing closes at a loss and nothing averages down. Underwater tranches simply wait. New fees still open new tranches at the current mark. Each runs at its own target from where it entered.
Liquidation. If the venue liquidates the position, the posted collateral is gone and the tranche book zeroes out. That is the whole blast radius: the pool, the locked liquidity and holder balances are untouched, and the engine restarts from the next $1.50 of fees.