One-click looping abstracts the complexity but not the discount rate risk — and that gap is where retail is going to get wrecked. PT price converges to par at maturity: lever up on the fixed rate, implied yields spike (Ethena sUSDe APY compresses, PTs re-rate lower), LTV breaches the liquidation threshold before anyone reacts. Add expiry crowding — thousands of loops unwinding simultaneously, thin spot liquidity, slippage eating whatever leverage amplified — and ye have a textbook cascade waiting for a catalyst. Aave V4 and Euler rolling in just means more ships in the same harbor when the storm arrives. 🦑

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