Blockchain and no-code tools challenge AWS' dominance: Crypto exec

cointelegraphPublicado em 2025-12-20Última atualização em 2025-12-20

Resumo

The rise of AI-powered no-code tools and blockchain technology is challenging Amazon Web Services' dominance in cloud computing, according to Lomesh Dutta of the Dfinity Foundation. These tools democratize app creation and enable AI-driven, continuously updated user experiences without relying on centralized servers. Blockchain provides a secure, tamper-resistant infrastructure that operates without constant human intervention. Despite promoting decentralization, many crypto and Web3 projects still depend on AWS, as seen in multiple 2025 outages that disrupted major platforms like Binance, Coinbase, and MetaMask. Industry executives argue that true decentralization must extend beyond the ledger to infrastructure to avoid reliance on centralized providers.

The rise of AI-powered no-code tools that allow users to create applications through linguistic prompts rather than computer code, decentralized through blockchain technology, will challenge Amazon Web Services’ (AWS) dominance of the cloud computing market.

No-code tools will democratize access to app creation and custom-tailored user experiences that will require constant updates and maintenance from AI, Lomesh Dutta, vice president of growth at the Dfinity Foundation, a non-profit organization that guides development of the Internet Computer Protocol (ICP) ecosystem, told Cointelegraph.

This rise of user-created applications eliminates the need for centrally managed software solutions stored on centralized servers.

AWS continues to dominate the cloud-computing market in 2025. Source: Statista

“When applications are continuously generated and evolved by AI, you need infrastructure that is secure, tamper-resistant, and able to stay online without constant human intervention,” he said. Lomesh added:

“Decentralized blockchain networks introduced a revolutionary computing paradigm: by eliminating central points of control, they enable the creation of secure, reliable, and fault-tolerant software.”

A significant portion of crypto companies and Web3 projects rely on centralized AWS infrastructure to power their consumer-facing applications and websites, Internet Computer founder Dominic Williams told Cointelegraph.

Related: Cloudflare outage shows why crypto needs end-to-end decentralization

AWS outages rock the crypto industry in 2025

Several AWS outages occurred in 2025, impacting multiple crypto platforms and exchanges using AWS servers and data centers to host their applications.

The first outage occurred in April, causing disruptions to centralized crypto exchanges, including Binance, KuCoin and MEXC. At the time, Binance temporarily paused withdrawals until normal service was restored.

AWS experienced another outage in October, causing disruptions in crypto exchange Coinbase’s mobile application, with users reporting login problems, slowdowns and withdrawal issues.

AWS reports an outage on October 20. Source: AWS Health Dashboard

Other financial applications were impacted by the outage, including the mixed-asset brokerage platform Robinhood and Web3 wallet MetaMask.

The October AWS outage lasted for about 15 hours and underscored the level of reliance crypto and Web3 projects, which market themselves as decentralized alternatives, have on centralized cloud infrastructure providers.

Crypto’s reliance on centralized infrastructure has drawn criticism from several crypto industry executives, 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.

“Decentralization has succeeded at the ledger layer but not yet at the infrastructure layer,” Elkaleh told Cointelegraph in October.

Magazine: Meet the onchain crypto detectives fighting crime better than the cops

Perguntas relacionadas

QAccording to the article, how will no-code tools and blockchain technology challenge AWS' dominance in cloud computing?

ANo-code tools democratize app creation through AI-powered linguistic interfaces, while blockchain provides decentralized, secure, and tamper-resistant infrastructure that eliminates reliance on centralized servers and reduces need for constant human maintenance.

QWhat specific problems did AWS outages cause for crypto platforms in 2025 as mentioned in the article?

AAWS outages in April and October 2025 caused disruptions including Binance pausing withdrawals, Coinbase experiencing login problems and withdrawal issues, and affecting platforms like KuCoin, MEXC, Robinhood, and MetaMask.

QWhat criticism did crypto executives have regarding the industry's infrastructure according to the article?

AExecutives like Jamie Elkaleh criticized that 'decentralization has succeeded at the ledger layer but not yet at the infrastructure layer,' highlighting the contradiction between Web3's decentralized ideals and its reliance on centralized cloud providers like AWS.

QWhat advantages does Lomesh Dutta attribute to decentralized blockchain networks for AI-generated applications?

AHe stated decentralized blockchain networks provide 'a revolutionary computing paradigm' by eliminating central points of control, enabling the creation of secure, reliable, and fault-tolerant software that can stay online without constant human intervention.

QWhich major companies and projects were mentioned as being affected by the AWS outages in the article?

AThe affected entities included crypto exchanges Binance, KuCoin, MEXC, and Coinbase; mixed-asset brokerage Robinhood; and Web3 wallet MetaMask.

Leituras Relacionadas

Fu Peng's First Public Speech in 2026: What Exactly Are Crypto Assets? Why Did I Join the Crypto Asset Industry?

Fu Peng, a renowned macroeconomist and now Chief Economist at New火 Group, delivered his first public speech of 2026 at the Hong Kong Web3 Festival. He explained his perspective on crypto assets and why he joined the industry, framing it within the context of macroeconomic trends and financial evolution. Fu emphasized that crypto assets are transitioning from an early, belief-driven phase to a mature, institutionally integrated asset class. He drew parallels to the 1970s-80s, when technological advances (like computing) revolutionized traditional finance, leading to the rise of FICC (Fixed Income, Currencies, and Commodities). Similarly, current advancements in AI, data, and blockchain are reshaping finance, with crypto assets becoming part of a new "FICC + C" (C for Crypto) framework. He noted that institutional capital, including traditional hedge funds, avoided early crypto due to its speculative nature but are now engaging as regulatory clarity emerges (e.g., stablecoin laws, CFTC classifying crypto as a commodity). Fu predicted that 2025-2026 marks a turning point where crypto becomes a standardized, financially viable asset for diversified portfolios, akin to commodities or derivatives in traditional finance. Fu defined Bitcoin not as "digital gold" in a simplistic sense but as a value-preserving, financially tradable asset. He highlighted that crypto's future lies in regulated, institutional adoption, moving away from retail-dominated trading. His entry into crypto signals this maturation, where traditional finance integrates crypto into mainstream asset management.

marsbitHá 13m

Fu Peng's First Public Speech in 2026: What Exactly Are Crypto Assets? Why Did I Join the Crypto Asset Industry?

marsbitHá 13m

Justin Sun Sues Trump Family: What $75 Million Bought Was Only a Blacklist

Justin Sun, founder of Tron, has filed a lawsuit in federal court against World Liberty Financial (WLF), alleging he was made the "primary target of a fraudulent scheme" after investing $75 million. Sun claims the investment secured him an advisor title and WLFI tokens, which were later frozen by WLF, causing "hundreds of millions in losses." The dispute began in late 2024 when Sun's investment helped revive WLF's struggling token sale, which ultimately raised $550 million. Shortly after, the SEC dropped its lawsuit against Sun following Donald Trump's inauguration. However, relations soured when Sun refused WLF's demands for additional funding. In August 2025, WLF added a "blacklist" function to its smart contract, allowing it to unilaterally freeze tokens. Sun's holdings, worth approximately $107 million, were frozen, and he was threatened with token destruction. The lawsuit highlights WLF's structure, which directs 75% of token sale profits to the Trump family, who had earned $1 billion by December 2025. WLF's CEO is Zach Witkoff, son of U.S. Middle East envoy Steve Witkoff. The project faces scrutiny for opaque operations, including a controversial loan arrangement on the Dolomite platform, co-founded by a WLF advisor. Despite Sun's history with the SEC, the case underscores centralization risks within DeFi, as WLF controls governance and holds powers to freeze assets arbitrarily. Sun's tokens remain frozen as legal proceedings begin.

marsbitHá 21m

Justin Sun Sues Trump Family: What $75 Million Bought Was Only a Blacklist

marsbitHá 21m

$500 to Buy OpenAI Stock: Silicon Valley's Most Respectable Liquidity Invitation

Silicon Valley's largest venture capital platform, AngelList, has launched a new fund called USVC, allowing U.S. retail investors to buy into high-profile AI companies like OpenAI, Anthropic, and xAI with a minimum investment of $500—no accredited investor status required. Promoted by AngelList co-founder Naval Ravikant, the fund is framed as an opportunity for ordinary people to access high-growth private tech investments traditionally reserved for VCs. However, critics argue it functions more like an exit vehicle for early insiders. USVC acquires shares not through primary rounds but largely via secondary transactions—purchasing stakes from early investors, VC funds, and employees looking to cash out at peak valuations. With companies like xAI heavily weighted in the portfolio, the fund effectively channels retail money into providing liquidity for insiders who entered at much lower valuations. The fund’s structure raises concerns: shares are illiquid, with no secondary market, and buybacks are limited and discretionary. The actual annual fee reaches 3.61%, far above the advertised 1% management fee. This model parallels the "low float, high fully diluted valuation" strategy seen in crypto, where early investors profit by selling to latecomers at inflated prices. The timing—alongside similar moves by platforms like Robinhood—suggests that Silicon Valley’s sudden interest in retail inclusion may be less about democratizing access and more about securing exits for insiders.

marsbitHá 51m

$500 to Buy OpenAI Stock: Silicon Valley's Most Respectable Liquidity Invitation

marsbitHá 51m

Trading

Spot
Futuros
活动图片