The emergence of AI-enhanced no-code tools enables users to build applications using linguistic prompts instead of traditional programming, facilitated by blockchain technology, posing a significant challenge to Amazon Web Services’ (AWS) control over the cloud computing sector.
No-code tools are set to democratize access to application development and personalized user experiences that necessitate ongoing updates and maintenance from AI, stated Lomesh Dutta, vice president of growth at the Dfinity Foundation, a non-profit that supports the development of the Internet Computer Protocol (ICP) ecosystem, to Cointelegraph.
This surge in user-generated applications removes the dependence on centrally controlled software solutions hosted on centralized servers.
“With applications being constantly created and improved by AI, there is a need for infrastructure that is secure, resilient, and can remain operational without ongoing human oversight,” he remarked. Lomesh further emphasized:
“Decentralized blockchain networks have pioneered a transformative computing model: by removing centralized control points, they allow for the development of secure, dependable, and fault-tolerant software.”
A considerable number of crypto firms and Web3 initiatives depend on centralized AWS infrastructure to support their consumer-facing applications and websites, according to Internet Computer founder Dominic Williams in discussions with Cointelegraph.
Related: Cloudflare outage highlights the need for complete decentralization in crypto
AWS outages impact the crypto sector in 2025
Multiple AWS outages were reported in 2025, affecting various crypto platforms and exchanges that rely on AWS servers and data centers to operate their applications.
The first outage took place in April, disrupting centralized crypto exchanges such as Binance, KuCoin, and MEXC. During this period, Binance temporarily suspended withdrawals until services returned to normal.
Another outage occurred in October, affecting Coinbase’s mobile application, with users reporting issues like login malfunctions, slow performance, and complications with withdrawals.
The outage also impacted other financial applications, including the mixed-asset brokerage platform Robinhood and the Web3 wallet MetaMask.
The October AWS outage lasted for approximately 15 hours, highlighting the extent to which crypto and Web3 initiatives, which portray themselves as decentralized alternatives, depend on centralized cloud service providers.
This reliance on centralized infrastructure has faced scrutiny from various crypto industry leaders, including Jamie Elkaleh, chief marketing officer at crypto wallet company Bitget Wallet, and Carlos Lei, co-founder of decentralized physical infrastructure network (DePIN) marketplace Uplink.
“While decentralization has been achieved at the ledger level, it has yet to materialize at the infrastructure level,” Elkaleh stated to Cointelegraph in October.
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