Why earn profits by providing liquidity?

Transaction fees are paid to liquidity providers (LPs) as compensation for their contributions to the liquidity pool. Being an LP involves certain risks, and to reward LPs for taking on these risks, liquidity pools offer them the opportunity to earn transaction fees. AwakenSwap operates a permissionless decentralized exchange (DEX), allowing anyone to participate in DeFi by adding liquidity and earning fees without needing approval or permission.