We numerically investigate self-defocusing solitons in a lithium niobate (LN) waveguide designed to have a large refractive index (RI) change. The waveguide evokes strong waveguide dispersion and all-normal dispersion is found in the entire guiding band spanning the near-IR and the beginning of the mid-IR. Meanwhile, a self-defocusing nonlinearity is invoked by the cascaded (phase-mismatched) second-harmonic generation under a quasi-phase-matching pitch. Combining this with the all-normal dispersion, mid-IR solitons can form and the waveguide presents the first all-nonlinear and solitonic device where no linear dispersion (i.e. non-solitonic) regimes exist within the guiding band. Soliton compressions at 2 μm and 3 μm are investigated, with nano-joule single cycle pulse formations and highly coherent octave-spanning supercontinuum generations. With an alternative design on the waveguide dispersion, the soliton spectral tunneling effect is also investigated, with which few-cycle pico-joule pulses at 2 μm are formed by a near-IR pump.