PANews reported on August 18th that according to CoinDesk , Galaxy Digital's latest report shows that crypto-collateralized lending grew 27% quarter-over-quarter to $ 53.1 billion in the second quarter, reaching a new high since early 2022. The recent drop in BTC prices triggered over $ 1 billion in contract liquidations, highlighting the market fragility caused by accumulated leverage. The report noted that USDC OTC borrowing costs have continued to rise since July , exacerbating the mismatch between on-chain and off-chain USD liquidity, strained DeFi liquidity, and increased lending concentration, leading to increased market pressure points.