620,000 ETH were unstaked in bulk, with stETH trading at a discount of nearly 0.4% to ETH.

[Coin World] According to analysis, the mass un-staking of 620,000 ETH may be related to a large withdrawal of ETH deposits from a certain platform, resulting in soaring borrowing interest rates. The massive withdrawal of ETH deposits from the platform in a short period led to soaring borrowing interest rates, causing loop loan players to shift from enjoying interest spreads to losses, forcing them to redeem stETH to deleverage, resulting in the current situation. The borrowing APR for ETH on the platform once soared to 10%, and the withdrawal waiting period for Lido stETH has now been extended to 21 days (normally within a week), with an on-chain stETH to ETH conversion still having a nearly 0.4% discount. Regarding the implementation of loop loans, the collateralization ratio for ETH on a certain platform is 93%, which means arbitrage players can even use up to 14 times leverage to obtain interest spread income, and under normal circumstances, the annualized percentage rate for the principal can reach ~7%.