Investors’ confidence in cryptocurrencies is currently being severely tested. The sell-offs on the markets are huge. In the midst of this financial turmoil, the digital token, TerraUSD, collapsed in mid-May this year. The crash caused a sensation because, in theory, it should not have happened, as TerraUSD is a stablecoin. This means that each unit of this digital currency, which is independent of states, banks or companies, should always be worth exactly one US dollar. The stablecoin losing its peg from the dollar was not an isolated case. Even the market leader among stablecoins, Tether, was temporarily quoted below the target price of one US dollar.