Coinbase Faces Outages Amid AWS Disruption, Recovery Underway

Coinbase hiccup reveals cloud risks, with quick recovery indicating the platform’s focus on reliability and making crypto easy for everyone.

Written By:
Kenrodgers Fabian

Reviewed By:
Divya Mistry

Coinbase Applies For Occ Charter To Scale Crypto Services

Coinbase users have run into access problems due to an Amazon Web Services (AWS) outage hitting the platform. The same cloud issue also affected popular sites like Snapchat, Amazon, Reddit, Hulu, and Xbox Network. 

At press time, Coinbase said some users can now access their accounts, but the outage exposed risks of relying heavily on a single cloud provider. The company reassured everyone that all funds are safe and that recovery is still underway.

Coinbase Support addressed the outage on X, saying keeping the platform reliable is a top priority. The team is closely monitoring the situation and working on better backup systems to avoid future outages. After users worried about relying on just one cloud provider, Coinbase reassured them that they are taking steps to make their infrastructure stronger and more resilient.

Redundancy and multi-cloud strategies in focus

Some users expressed worry that Coinbase depends too much on AWS. Rich Smith said, “For such a critical service, redundancy, HA, and having a multi-cloud strategy are critical.” Coinbase replied that they are reorganizing their systems, boosting database capacity, and improving testing to handle heavy traffic more smoothly. These measures aim to reduce the risk of extended outages in the future. 

In response to X user ‘Rudolf’s’ comment, Coinbase said it recovered its X account, ensuring that no systems were compromised and advising users not to share sensitive information.

Crypto access for all

Despite the recent issues, Coinbase stays optimistic about Bitcoin. A survey of 124 institutional investors found that 67% expect Bitcoin to perform well over the next three to six months. 

David Duong, Head of Research at Coinbase Institutional, pointed out that opinions differ on the market, with 45% thinking the Bitcoin bull run is nearing its end. He added, “Looking at the supply/demand picture, it’s hard to overstate the impact that digital asset treasury companies have had on markets this year.”

Coinbase CEO Brian Armstrong ALSO emphasized crypto’s accessibility for small investors. He stated, “It’s never too late,” encouraging users to start investing with minimal amounts. 

Armstrong highlighted crypto’s role in giving billions without bank access a chance to manage money via phones and the internet. He also explained that decentralized finance allows anyone to safely borrow, lend, save, and trade money globally.

Meanwhile, Coinbase’s outage shows why backups matter, but the quick recovery proves they take reliability seriously. Crypto is becoming easier for everyone.

Also Read: U.S. Investor Loses $3M in XRP Hack Through Huione Laundering


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Kenrodgers Fabian is a Content Writer with over 3 years of experience in crypto news, data analysis, and IT. With a degree in Health Records and Information Technology, he brings a structured and analytical approach to digital reporting. Kenrodgers focuses on delivering accurate, informative content that helps readers stay updated on the latest trends in crypto and emerging technologies.
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Divya Mistry is a Content Editor with over 9 years of experience in news, PR, marketing, and research. Armed with a Master’s Degree in English Literature from the University of Mumbai, she specializes in crafting and refining long-form content across digital and print platforms. Over the years, Divya has contributed to and shaped content for leading brands across a range of industries, including real estate, healthcare, vertical transport, entertainment, lifestyle, education, EdTech, tech, and finance. Her research work has been featured on platforms like DNA India, Forbes, and Elevator World India. She now brings her editorial and research skills to explore the rapidly evolving world of cryptocurrency.