Double disk space due to duplication (cache/workspace)

Hello all, I am using DVC across multiple projects on macOS. Based on the documentation, by default, it should be using one of the linking strategies to avoid copying the same file twice. However, for me, it takes double disk space for all projects. So if a file is 5GB in my workspace, the project disk space usage is around 10GB. What am I doing wrong here?

Here is the output of the dvc version of my system.

DVC version: 2.18.0 (brew)
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Platform: Python 3.10.6 on macOS-12.5.1-x86_64-i386-64bit
Supports:
        azure (adlfs = 2022.7.0, knack = 0.9.0, azure-identity = 1.10.0),
        gdrive (pydrive2 = 1.14.0),
        gs (gcsfs = 2022.7.1),
        webhdfs (fsspec = 2022.7.1),
        http (aiohttp = 3.8.1, aiohttp-retry = 2.8.3),
        https (aiohttp = 3.8.1, aiohttp-retry = 2.8.3),
        s3 (s3fs = 2022.7.1, boto3 = 1.21.21),
        ssh (sshfs = 2022.6.0),
        oss (ossfs = 2021.8.0),
        webdav (webdav4 = 0.9.7),
        webdavs (webdav4 = 0.9.7)
Cache types: reflink, hardlink, symlink
Cache directory: apfs on /dev/disk1s5s1
Caches: local
Remotes: s3
Workspace directory: apfs on /dev/disk1s5s1
Repo: dvc (subdir), git