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Home/Markets/AWS Northern Virginia Data Center Overheats, Impacts Coinbase
VERIFIEDBy Xavier Rivera·Friday, May 8, 2026 at 4:14 AM AST·1.5 min read

AWS Northern Virginia Data Center Overheats, Impacts Coinbase

An AWS Northern Virginia data center overheated on Friday, impacting Coinbase trading and prompting cancel-only mode on its markets. The outage caused degraded performance for users while both companies work to restore services and confirm customer funds are safe.

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AWS Northern Virginia Data Center Overheats, Impacts Coinbase
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TL;DRAI · 60 sec read

AWS Northern Virginia data center overheats from cooling failure and power loss in US-EAST-1's use1-az4 zone, disrupting Coinbase and FanDuel. Coinbase experiences degraded performance, blocks transactions, and enters cancel-only mode while confirming funds safe. AWS diverts traffic, notes recovery signs, and restores temperatures and racks. This halts trading for crypto and gambling users.

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Amazon’s cloud unit is working to restore normal temperature levels at its Northern Virginia data center after it overheated. The incident has impacted trading on Coinbase and other websites.

AWS provided a status update on Friday at 5:11 am UTC. “We are observing early signs of recovery. We continue to work towards restoring temperatures to normal levels and bring impacted racks back online in the affected Availability Zone (use1-az4) in the US-EAST-1 Region,” the company said.

Earlier on Friday, AWS said it was making “incremental progress to restore cooling systems” after one of its data centers experienced a temperature increase. A power loss tied to the incident impacted hardware that could see services that rely on the hardware to experience impairments. AWS said it had diverted traffic away from the impacted zone as part of its recovery efforts.
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The outage has notably impacted crypto exchange Coinbase, one of the biggest crypto exchanges in the world. Customers were experiencing “degraded performance.” The outage has led to some Coinbase customers being unable to transact on the web and mobile.

Coinbase said its teams are working to restore functionality and that customer funds are safe. The exchange placed its markets in “cancel only” mode. “We will begin the process to re-enable trading on our markets shortly,” Coinbase said. “All markets would be placed in ‘Cancel Only’ mode before we move to re-enable trading.”
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FanDuel, an American gambling company, said it was also impacted.
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