diff --git a/replit.md b/replit.md
index 6a8a703..3605396 100644
--- a/replit.md
+++ b/replit.md
@@ -102,6 +102,33 @@ Configurable content filtering with adjustable actions.
 | `/modlog` | View moderation history |
 | `/auditlog` | View server audit log |
 
+### Federation System
+Cross-server protection network that shares ban lists and reputation data.
+
+| Feature | Description |
+|---------|-------------|
+| **Global Bans** | Shared ban list across all federation servers |
+| **Tiered Protection** | Free (critical bans only) / Premium (all severity levels) |
+| **Server Directory** | Public listing of verified federation servers |
+| **Applications** | Treaty-based membership application system |
+| **Reputation** | Cross-server talent scouting and reputation tracking |
+| **Featured Slots** | Premium advertising spots for server promotion |
+
+**Ban Severity Levels:**
+| Level | Free Tier | Premium Tier |
+|-------|-----------|--------------|
+| Low | Alert only | Auto-kick |
+| Medium | Alert only | Auto-kick |
+| High | Alert only | Auto-kick |
+| Critical | Auto-ban | Auto-ban |
+
+**Pricing:**
+- Free Tier: Basic protection (critical bans only)
+- Premium Tier: $50/month - Full protection from all severity levels
+- Featured Slot: $200/week - Cross-promotion across all federation servers
+
+**Dashboard:** `/federation` - Web interface for managing federation membership
+
 ---
 
 ## Community Features