Market volatility also expanded into crypto-asset markets. Bitcoin lost 50% of its value (versus the US dollar), and stresses emerged in markets for stablecoins. While a number of stablecoins lost their peg against the US dollar, broader financial stability risks remain limited. At the same time, the implications of stresses on stablecoin Tether could be significant for the crypto-asset ecosystem. A failure of Tether may pose a threat to the stability of crypto-asset markets, as it provides a substantial amount of trading liquidity for buying and selling of other crypto-assets. A run on Tether could disrupt trading and price discovery in crypto-asset markets, which could turn disorderly. Contagion effects for the broader financial system arising from a potential “crypto crash” still seem limited, although individual investors may suffer significant losses.