On December 7th, due to AWS problems, dYdX was paralyzed along with Binance.US and Coinbase, and traders had to wait.

On December 7, the downtime of Amazon Web Services (AWS) forced the decentralized exchange dYdX to cease operations, raising questions about the dependence of the DeFi protocol on centralized services. 

AWS is one of the most widely used cloud services in the world, and quite a few decentralized infrastructures use it. AWS provides server, storage, network, remote computing, email, mobile development, and website security. 

dYdX released an update via Twitter on December 8, acknowledging that its reliance on centralized web services like AWS is problematic. It promised to improve the true decentralization of its business, but did not explain how to do it.

"Unfortunately, there are still some parts of the exchange that rely on centralized services (here, AWS). We are firmly committed to complete decentralization, and this remains one of our top priorities as we continue to iterate the protocol. "

Centralized exchanges Binance.US and Coinbase also experienced service interruptions due to AWS issues.

According to Dappradar, dYdX is the 11th largest DeFi application on the Ethereum network. Its daily trading volume is approximately US$1.5 billion. As a decentralized exchange (DEX), it does not need to understand your customer (KYC) agreement and settle all transactions through smart contracts. 

An update on the dydx status portal showed that while trying to remedy this problem, the team was unable to access key elements of its backend due to a failure. The status at 9:20 PM UTC is like this:

"We are studying whether we can directly cancel all these orders, but the interruption of AWS makes it impossible for us to determine whether this is feasible."

The dYdX token has fallen by about 10% in the past 24 hours, and according to Coingecko's data, the transaction price is $8.63.