Galaxy Research report shows that the scale of crypto mortgage loans in the second quarter increased by 27% quarter-on-quarter to $53.1 billion, reaching a new high since 2022. The rapid accumulation of leverage has made the market more fragile. Bitcoin has fallen from 124,000 to 118,000, triggering over $1 billion in long liquidations. Although this is a healthy profit-taking, the risks have become apparent. In July, large withdrawals from Aave pushed ETH lending rates above staking yields, leading to a record 13-day exit queue on the Beacon Chain and initiating on-chain deleveraging. Meanwhile, the off-chain USDC financing costs have surged while on-chain rates remained stable, causing the on-chain and off-chain dollar spread to rise to its highest since the end of 2024, indicating tightening liquidity offline; if the environment tightens further, volatility may be amplified.