AWS outage disrupts major crypto exchanges including Binance, KuCoin, MEXC
All services are back to normal
On April 15, 2025, a significant network interruption at Amazon Web Services (AWS) led to widespread service disruptions across several centralized cryptocurrency exchanges (CEXs).
The outage affected critical functionalities such as order processing and withdrawals, highlighting the crypto industry's reliance on centralized cloud infrastructure.
Key takeaways
- AWS experienced connectivity issues impacting multiple services, causing disruptions in major crypto exchanges.
- Many centralized cryptocurrency exchanges (CEX) have been affected by the AWS data center outage: KuCoin, MEXC, Bitget.
- Binance temporarily suspended withdrawals but has since begun restoring services.
- The problem occurred due to simultaneous outages of the main and backup power supplies
Impact on crypto exchanges
Binance was among the first to report issues, citing a temporary network interruption in the AWS data center. Users experienced difficulties with order processing and withdrawals. The exchange has since started restoring services, including user withdrawals, thanks to quick collaboration with AWS.
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KuCoin, MEXC, Bitget also reported delays in deposits and withdrawals due to the AWS outage. While trading services remained operational, the exchanges acknowledged the impact on user transactions.
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AWS response and broader implications
AWS confirmed the connectivity issues, stating that they were observing initial signs of recovery and were working toward full restoration of services. The outage affected at least 12 of its services, emphasizing the potential risks of centralized service dependencies in decentralized finance operations .
This incident has reignited discussions about the need for decentralized infrastructure in the crypto industry. Reliance on centralized services like AWS can pose significant risks, as demonstrated by the widespread disruptions experienced during this outage. As the industry continues to evolve, balancing efficiency with decentralization remains a critical challenge.
"Our engineers automatically intervened within minutes and immediately began investigating and implementing corrective measures. We do not think this problem will occur again. Currently, only a very small number of instances are still deployed on the hardware affected by the power outage. Efforts will continue to recover all affected instances and volumes, but for immediate recovery, we recommend replacing those instances or storage volumes not yet recovered as much as possible. This issue has now been resolved and services are back to normal," Amazon AWS said.
Conclusion
The AWS outage on April 15, 2025, served as a stark reminder of the crypto industry's dependence on centralized cloud services. While exchanges like Binance and KuCoin have begun restoring services, the event underscores the importance of developing more resilient and decentralized infrastructures to mitigate such risks in the future.
Read also: South Korea FSC blocks 14 crypto exchanges on Apple Store.
