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Amazon Web Services faced an overheating issue at one of its Northern Virginia data centers, disrupting Coinbase, FanDuel, and other online platforms. The outage affected part of AWS’s US-EAST-1 region, where the company said it worked to restore normal temperatures and bring impacted systems back online. Coinbase reported degraded performance, while some users could not transact through its web and mobile services.
AWS said in a Friday status update that it had started seeing 'early signs of recovery.' The company also said it was gradually bringing affected racks back online inside the impacted Availability Zone.
The disruption affected services that depend on AWS cloud infrastructure. As a result, several platforms faced service issues while AWS continued recovery work.
AWS said the issue came from high temperatures inside one Northern Virginia data center. The company then began efforts to restore normal temperature in the affected facility. At the same time, AWS said recovery had started across parts of the impacted Availability Zone. The company reported early signs of progress as it brought affected racks back online.
The affected data center sits inside AWS’s US-EAST-1 region. This region supports many online services, including consumer platforms, financial services, and enterprise tools. As recovery continued, AWS worked to stabilize systems disrupted by the overheating issue. The company said affected services were gradually being restored.
The incident drew attention because a single infrastructure problem disrupted several major platforms. It also showed how quickly data center issues can move across services that rely on cloud systems.
Coinbase confirmed that the AWS disruption caused degraded performance across its services. Some customers could not transact on both the web and mobile platforms. The crypto exchange said customer funds remained safe during the incident. Its update focused on platform performance, trading access, and service recovery.
Coinbase also said it was preparing to restore trading functions in phases. First, the exchange planned to place all markets in 'Cancel Only' mode. That mode would allow users to cancel existing orders while the platform worked to stabilize its systems. After that stage, Coinbase expected to restore broader trading activity.
For crypto users, the disruption affected access to exchange services rather than blockchain networks. Customers faced limits on trading, deposits, withdrawals, or account access during cloud-related outages.
The AWS overheating issue also disrupted other online platforms, including FanDuel. The incident affected services that use AWS infrastructure for regular operations. Coinbase directly linked its service disruption to AWS. Meanwhile, CME Group also reported issues with its CME Direct trading platform.
Reuters said it was not immediately clear whether CME’s issues were connected to the AWS outage. CME later said users could log in again after essential maintenance ended. The available updates did not point to a cyberattack or a Coinbase-specific security breach. Instead, the reported cause involved high temperatures affecting AWS hardware and service availability.
That distinction matters because Coinbase did not report missing funds or compromised accounts. The exchange described the incident as a performance and access problem tied to AWS disruption. The outage also renewed focus on the internet’s reliance on large cloud providers. AWS powers websites, apps, exchanges, and business platforms across several sectors.
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When an AWS region or Availability Zone experiences issues, companies across industries can experience service disruptions. In this case, the impact reached crypto trading, online gambling, and financial trading tools. Reuters also noted that AWS suffered a major outage in October 2025. That earlier incident disrupted many popular apps and websites worldwide.
This latest disruption again showed how cloud infrastructure can affect major digital platforms. As AWS restored affected systems, Coinbase and other services worked to bring users back online.
AWS’s overheating issue at a Northern Virginia data center disrupted Coinbase, FanDuel, and other platforms. Coinbase reported degraded performance but said customer funds remained safe. The incident showed how cloud infrastructure problems can affect major digital services that depend on AWS.
