Coinbase Plunges into Chaos: AWS Outage Locks Millions Out of Accounts
Digital finance grinds to a halt as cryptocurrency giant Coinbase faces massive service disruption.
Infrastructure Meltdown
AWS servers crash—taking one of crypto's biggest exchanges down with them. Users report complete account access failure during peak trading hours. No buy orders, no sell orders, no portfolio checks. Just frozen screens and growing frustration.
The Cloud Dependency Problem
Another reminder that even decentralized finance relies on centralized infrastructure. When Amazon's servers sneeze, the entire crypto market catches a cold. Trading volumes plummet as investors scramble for alternatives.
Trust Takes Another Hit
Just when regulators were starting to warm up to digital assets, this happens. Perfect timing for another round of 'I told you so' from traditional finance purists. Because nothing says 'mature financial system' like being one cloud outage away from complete paralysis.
Non-crypto companies also affected by AWS outage
The downtime stretched far beyond the crypto space. Platforms like Snapchat, Reddit, Hulu, Grammarly, Xbox Network, Fortnite, and Electronic Arts all experienced partial service interruptions, highlighting the central role AWS plays in today’s internet ecosystem.
Meanwhile, this outage is not Coinbase’s first infrastructure hiccup in 2025. Earlier this year, CEO Brian Armstrong apologized for delays involving solana transactions, which caused failed or delayed orders due to overloaded backend systems.
The recurrence of technical outages raises serious concerns for retail crypto traders who depend on uninterrupted access, especially during periods of market volatility. As digital asset adoption grows, the latest disruption reinforces the need for robust fail-safes and notices from service providers in safeguarding user experience and trust.
