Daily OT user here since the pre-order. This distortion you describe is an experience that I do not have with either of my OTs. I run every single thing in my studio (including a bunch of semi-uncontrollable circuit bent stuff) through the OT at one time or another without issue and everything remains as clear as its origin sound. I even sample in very long mixes through the inputs and they sound amazing, especially after EQ and FX treatment in the OT.
Btw, you want the input lights to be yellow or you’ll be boosting in the editor.