AWS Outage Disrupts Service at Large Crypto Exchanges
Two of the world’s largest cryptocurrency exchanges, Binance and KuCoin, suffered service disruptions on Tuesday due to a large-scale outage in Amazon Web Services (AWS), their primary cloud provider.
Binance Halts Withdrawals Amidst Network Issue
Binance, the world’s largest cryptocurrency exchange by trading volume, temporarily halted withdrawals and had partial failures in trading order executions.
In a post on X, Binance explained that the issue is caused by “a temporary network interruption in the AWS data center,” causing some services to be unavailable. The platform explained that while some trades continued to go through, others failed.
If users were unsuccessful, they can try repeatedly,” the company directed. Binance assured users that the disruption is being repaired and that the team is in close communication with AWS to stabilize the problem.
To ensure the safety of user assets, Binance paused withdrawals during the outage but informed that services have resumed since then and are being monitored closely for stability.
KuCoin Also Affected, Assures Users of Asset Safety
Shortly after Binance’s update, KuCoin also confirmed disruption caused by the same AWS outage.
“Our platform is experiencing temporary disruptions,” KuCoin tweeted on X, attributing a “large-scale network outage with AWS services” as the cause of the disruption.
KuCoin’s technical team is addressing the problem. The exchange reassured users that their funds are secure and all data is intact.
Cloud Dependency in Crypto Under Scrutiny
This incident highlights the critical role that cloud providers like AWS play in powering crypto platforms. A single centralized failure can impact millions of users of multiple services simultaneously.
As of the latest updates, both Binance and KuCoin have begun restoring full functionality and are continuing to monitor their platforms for any residual problems.
