Fear is generated by Spirit Powers with the Fear symbol: and by destruction: Destroying a Town generates 1 Fear; Destroying a City generates 2 Fear.
Fear terrifies the Invaders as a whole. For each Fear generated, advance one Fear Marker from the Fear Pool to the Generated Fear area.
When all of the Fear Markers are in the Generated Fear area, move the top card of the Fear Deck face-down into the Earned Fear Cards space.
If this reveals a Terror Level divider, move it to cover the old Terror Level (which starts at Level 1, preprinted on the board).
Move the Fear Markers back to the Fear Pool; if you have leftover Fear after earning a card, move that many Fear Markers to the Generated Fear area.
Cards in the Earned Fear Cards space are flipped and resolved during the next Invader Phase. Like Powers, effects of Fear Cards last for the current turn only, unless they change the board in some way. After each Fear Card is resolved, move it to the Fear Discard space.
When you reveal a new Terror Level divider, the new Terror Level and victory condition take effect immediately, so you might instantly win!
WIN CONDITIONS
Terror Level 1: No Invaders on the Island.
Terror Level 2: No Towns or Cities on the Island.
Terror Level 3: No Cities on the Island.
Terror Level VICTORY: Immediate victory!
Upon winning, if you like, you may remove all Invader pieces to see what the island looks like after they flee!
In the rare case that a single Power Card or other effect causes you to both win and lose, you win a Sacrifice Victory: you are destroyed, but the Island, the Dahan, and many other Spirits survive.