Amazon outage causes seven hour disruption at crypto exchanges, raises questions on ‘decentralisation’

  • Cloud service Amazon Web Services (AWS), which runs around one-third of the internet, saw a massive outage.
  • Not only were centralised crypto exchanges hit, but decentralised players like dYdX went down in the chaos that followed.
  • The time-sensitive nature of transactions on crypto exchanges has users questioning what ‘decentralisation’ truly entails.

Amazon Web Services (AWS) was down for nearly half a day on December 8. As a result, centralised crypto exchanges like Binance, Coinbase and others came to a standstill. Moreover, even decentralised crypto exchanges, like dYdX, were unable to process transactions.

Even though dYdX is decentralised, which is to say that it allows for direct peer-to-peer transactions unlike a centralised exchange where investors need to use the company’s designated wallet, it is still dependent on AWS — a centralised service.

We are primarily funded by readers. Please subscribe and donate to support us!

www.businessinsider.in/investment/news/aws-outage-shows-that-dexs-arent-are-decentralised-as-expected/articleshow/88186644.cms

Views:

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.