Bitget App
Trade smarter
Open
HomepageSign up
Bitget>
News>
Markets>
Bitcoin News Update: AWS Disruption Underscores Centralization Risks; Decentralization Efforts in Crypto Accelerate

Bitcoin News Update: AWS Disruption Underscores Centralization Risks; Decentralization Efforts in Crypto Accelerate

Bitget-RWA2025/10/24 23:04
By: Bitget-RWA
- A 2025 AWS outage disrupted global services, exposing centralized cloud infrastructure risks as 4M users faced outages across finance, government, and aviation sectors. - Experts warned of systemic vulnerabilities in over-reliance on major cloud providers, while UK regulators questioned AWS's lack of critical infrastructure designation. - Zelle's stablecoin expansion aims to challenge traditional cross-border payments, with $1T+ annual transactions already processed through its network. - Bitcoin markets

An international disruption of

Web Services (AWS) on October 20-21, 2025, revealed the vulnerability of today’s digital backbone, causing interruptions for enterprises, government agencies, and financial systems worldwide. The initial failure occurred in AWS’s US-EAST-1 data center in Northern Virginia—a vital node for many leading global platforms—and rapidly impacted regions in Europe, Asia, and Australia. More than 4 million users encountered problems, affecting UK government portals such as HMRC and prominent banks, while U.S. airlines Delta and United also experienced technical outages, according to . This event highlighted the inherent dangers of relying on centralized cloud services, with specialists cautioning that depending on a few major providers introduces a “single point of failure” for the global economy, as observed.

As the leading cloud service, ahead of Microsoft Azure and Google Cloud from Alphabet, AWS confirmed the disruption stemmed from an issue in its US-EAST-1 region, which has a record of past outages. Although AWS stated that the situation was “completely resolved,” ongoing delays persisted as organizations worked through accumulated tasks, according to various sources. Jake Moore, cybersecurity specialist at ESET, pointed out the delicate nature of digital networks, remarking, “This incident exposes just how much we depend on infrastructure that can be quite fragile.” The outage also renewed calls for regulatory oversight, with the UK Treasury committee raising concerns over why Amazon had not been classified as a “critical third party” under financial regulations, as reported by

.

While the AWS incident dominated the news, there were also notable shifts in the cryptocurrency and payments industries. U.S. payment platform Zelle revealed intentions to utilize stablecoin technology for international payments, aiming to extend its domestic leadership to the global stage. Supported by Zelle’s consortium of banks, the project seeks to tackle the high fees and delays associated with conventional cross-border transfers. With Zelle already processing $1 trillion in yearly transactions, this move positions stablecoins as a foundational element for worldwide finance, according to a

. Meanwhile, Andreessen Horowitz highlighted the growing influence of stablecoins, noting $46 trillion in blockchain-based transactions over the past year—far surpassing traditional payment leaders like Visa.

In the Bitcoin market, conditions suggested a possible short squeeze as bearish traders faced increasing risk. Blockchain metrics and funding rates pointed to a surge in short positions, with analysts estimating $14 billion in leveraged trades at risk of liquidation should prices recover. Bitcoin’s value dipped below $108,000 amid negative sentiment, but some analysts suggested a reversal could be near. “Negative funding rates and a drop in short interest create an imbalance that could intensify rapid price swings,” blockchain analytics firm CryptoQuant commented in

. Institutional investors also showed restraint, with Michael Saylor’s MicroStrategy hinting at another substantial acquisition, bolstering bullish sentiment, .

The overlap between cloud infrastructure weaknesses and shifts in financial markets highlighted the deep connections within digital economies. While AWS’s outage exposed the pitfalls of centralized platforms, the evolution of crypto and stablecoins offered alternative paths for robustness and growth. At present, both investors and regulators are divided between prudence and optimism, with Bitcoin’s trajectory dependent on macroeconomic trends, institutional moves, and the continued rise of decentralized technologies.

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
PoolX: Earn new token airdrops
Lock your assets and earn 10%+ APR
Lock now!

You may also like

Africa’s Crypto Landscape: Navigating Innovation and Regulatory Hurdles

- Kyrgyzstan integrates BNB into its crypto reserve and launches a government-backed stablecoin on BNB Chain, advised by Binance's CZ, aiming to become a "sustainable crypto hub" via green mining and blockchain education partnerships. - Nigeria's crypto policy faces delays due to legal challenges in Nnamdi Kanu's terrorism trial, highlighting governance issues complicating regulatory frameworks in Africa's fragmented crypto landscape. - Global crypto markets show volatility: Bitcoin ETFs gain $90.6M inflow

Bitget-RWA2025/10/26 06:34
Bitcoin News Update: In 2025, Broader Economic Trends, Not Large Investors, Are Shaping Bitcoin's Price Movements

- A Bitcoin whale recently accumulated $356.6M in BTC, but experts emphasize macroeconomic factors now dominate 2025 price trends over whale activity. - Spot ETF inflows and liquidity conditions increasingly drive intraday swings, with weekly flows correlating to new price highs since 2024. - Exchange liquidity has tightened to a six-year low (2.83M BTC), amplifying volatility as routine trades impact order books more significantly. - 97% of Bitcoin's supply in profit and shifting leverage highlight positi

Bitget-RWA2025/10/26 06:34
Hyperliquid News Today: "HYPE Jumps 12% While Altcoins Tumble Amid Bitcoin-Led Market"

- Bitcoin's market dominance hit 59% as altcoins like FET and BONK lost over 50% in three months amid liquidity crises and cascading liquidations. - Hyperliquid's HYPE token surged 12% to $38.92, with $690M trading volume and $1.55B open interest signaling renewed bullish momentum. - Hyperliquid seeks $1B via SEC filing to strengthen infrastructure, following HIP-3 upgrade and gamma exposure buildup between $112k-$120k BTC levels. - Persistent bearish sentiment (put options > calls) contrasts with HYPE's o

Bitget-RWA2025/10/26 06:34
AAVE up 3.51% over the past week following Aave Labs’ acquisition of Stable Finance to broaden its retail DeFi services

- Aave Labs acquires Stable Finance to expand retail DeFi offerings, enhancing consumer-friendly yield solutions. - Aave (AAVE) rose 3.51% in 7 days despite 17.48% monthly decline, reflecting mixed investor sentiment. - The $37B TVL platform navigates regulatory ambiguity as U.S. lawmakers restrict yield-bearing stablecoins. - Strategic moves like Maple Finance integration and Horizon RWA launch aim to strengthen DeFi market dominance.

Bitget-RWA2025/10/26 06:14

Trending news

More
1
Africa’s Crypto Landscape: Navigating Innovation and Regulatory Hurdles
2
Bitcoin News Update: In 2025, Broader Economic Trends, Not Large Investors, Are Shaping Bitcoin's Price Movements

Crypto prices

More
Bitcoin
Bitcoin
BTC
$111,639.66
+0.26%
Ethereum
Ethereum
ETH
$3,945.46
+0.32%
Tether USDt
Tether USDt
USDT
$1.0000
-0.05%
XRP
XRP
XRP
$2.62
+2.66%
BNB
BNB
BNB
$1,121.48
+0.32%
Solana
Solana
SOL
$194.01
-0.30%
USDC
USDC
USDC
$0.9998
-0.04%
Dogecoin
Dogecoin
DOGE
$0.1962
-1.34%
TRON
TRON
TRX
$0.2956
-0.02%
Cardano
Cardano
ADA
$0.6538
+0.13%
How to buy BTC
Bitget lists BTC – Buy or sell BTC quickly on Bitget!
Trade now
Become a trader now?A welcome pack worth 6200 USDT for new users!
Sign up now
Trade smarter