First it seems you should only use the "headphone out" for ear monitoring.
Typically the "line out" usually feeds into a high impedance (2-5 Mega ohms) input... such as a power amp or effects. Headphone/earbuds are 20-50 ohms input impedance.

You list your pc specs but putting them in your signature places them at the bottom of every post you do so we can review them to help you. See mine below and the link just below which should take you to your profile page to do that.
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"Please create a signature* with your PC, SW and HW specs and versions, so we know how to better help you... now and in the future.
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When in Hot topics, place this as my signature to 'cool' things down.

"These opinions are mine and may not be universally agreed upon by everyone else and that's OK, because I'm right anyway... at least to me."

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What version of Studio One (S1)?
Have you ensured you have the latest audio driver for your Skarlett unit?

Recording entails a few steps to prep for it... it's not just press the red button and go.
There's level setting, gain staging, etc.. to look at. If you've used an S1 "Template" it's possible it has pre-loaded plugins installed which may cause distortion.

I'd recommend watching some tutorials in your PreSonus account (at the bottom) or many are also on YouTube along with many other S1 users who've made them.