Just recently, Amazon cloud service AWS experienced an outage which is causing a service disruption on several Asian cryptocurrency exchanges. Binance is one of the exchanges.
In recent news, Amazon has experienced a cloud service outage which has caused several crypto exchanges, including Binance, to report problems. Binance is seeing international problems, the company CEO Changpeng Zhao explained on his Twitter:
It’s causing some 500 error messages on APIs and affecting some withdrawal processing
— CZ Binance (@cz_binance) August 23, 2019
Also, KuCoin reported issues with their services, and rushed to explain this situation to customers on its website:
“Due to the overheating of part of our chassis in the machine room we deployed in AWS, Tokyo, part of our services might become unavailable. The engineering operation team is currently deploying relevant resources of high availability across regions to deal with any possible emergencies that might happen. Some services might be effected during the deployment.”
What applies to Binance, the exchange has confirmed that all the customer funds are SAFU and are not exposed to any threats, explained CZ.
Asian Crypto Exchanges See Price Instability
Dovey Wan, a founding partner at Primitive Ventures, tweeted that many Asian exchanges are seeing price instability because of this technical issue.
Many Asian exchanges see price instability (and trades were able to execute, yes you can buy extremely cheap Bitcoin if you had limit orders there) pic.twitter.com/SZ30iqBjX3
— Dovey Wan 🗝 🦖 (@DoveyWan) August 23, 2019
She also attached several screen shots of various exchanges where customers report that there was an opportunity to purchase Bitcoin at a very low rate. One of the screen shots, which is supposed to be taken from BitMax exchange, suggests that a trader bought around 45 BTC for $0,32!
That indicates that traders had left very low buy orders. But the real price of one Bitcoin should’ve been around $10,190 at that time. Since the event, BitMax announced that they are halting withdrawals on its platform, however, experts point out that this screen might’ve not been taken from that exact exchange. Also, CITEX exchange order book suggests that traders took opportunity of this issue and managed to purchase a couple of cheap Bitcoin.
Additionally, AWS has communicated that they have identified the problems at its Tokyo facility and are working on them. They say that they found the root cause and now the situation is starting to return to normal.
“We are starting to see recovery for instance impairments and degraded EBS volume performance within a single Availability Zone in the AP-NORTHEAST-1 Region. We continue to work towards recovery for all affected instances and EBS volumes,” AWS explained in a status page.
All the involved exchanges are rushing to investigate the low-price Bitcoin purchases and at this point it’s not clear to where it is headed. Would the traders be asked to return their purchases or will they get reversed? Another thing that you can do now, is go on to all Asian exchanges you are registered to, and set up low Bitcoin buy orders to participate in the next outage when it comes.