Coinbase's crypto lending product has experienced its highest liquidation levels since launch, following significant declines in Bitcoin and Ethereum prices this week. According to Dune data, total liquidation losses reached approximately $170 million over the past seven days, with a single-day liquidation of about $90.7 million on Thursday affecting around 2,000 users. The loans, executed through the DeFi platform Morpho, are typically over-collateralized. If collateral values drop another 50%, potential liquidation could reach $600 million.