First this is basically what im saying.
FF7 has Slots for Weapons/Armor
Using DoL Materia items gains you Materia slots on Armor/Weapons
Then you Equip your Materia which you either buyed or Sprited.
Materia levels up more you use it in battle. Sameway with Spriting. Aka.. AP.
Once Materia reaches AP cap it levels up and stats upgrade. (Materia stats is lowered down to meet that level of armor's cap. Which means if you have a max tier4 Materia on a lv1 Armor it will have same stats as a tier1 Materia unless its changed to another piece of gear thats higher level to suit that Materia.
Only reason why I added a penalty for changing Materia is I think SE doesnt want players to swap materia often.
(Edit: Spirting Armor for AP is a good way for players to earn decent amount of AP and keep crafters creating items. Also make any unless armor/Materia players dont need into something they do like AP.



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