Coinbase Restores Trading After AWS Availability Zone Outage

Coinbase restored trading on its exchange after an outage in Amazon Web Services’ use1-az4 availability zone (US‑EAST‑1) began around 9:00 p.m. ET on May 7. The incident disrupted order matching, pushed markets into Cancel Only and auction modes, and caused delays for ALEO and Solana transfers.

Coinbase Support first posted on X that customers “may be experiencing degraded performance” and later linked the issue to a broader AWS outage. The company escalated the incident to a status of “degraded performance” and reported engineers were working to restore service, attributing the disruption to increased temperatures in the use1-az4 availability zone.

The exchange's live status page showed the disruption initially affected two networks, with delayed sends and receives for ALEO and Solana from about 21:00 ET on May 7. Early in the incident, buys, sells and fiat deposits and withdrawals for those networks remained available, but Coinbase later restricted order entry and matching.

Recovery began with markets moved into Cancel Only, allowing resting orders to be canceled while the platform did not accept new market or limit orders. The exchange then entered an auction phase in which customers could post limit orders and view an indicative opening price while order matching paused for at least 10 minutes. At the end of the auction, crossed orders were matched at the opening price.

Coinbase announced on X that it had re-enabled all markets and restored trading on Coinbase Exchange after systems stabilized. The company did not provide additional technical details about the AWS temperature issue or a timeline for any internal post-mortem.

The outage followed a company disclosure earlier this week of a roughly 14% reduction in its workforce as part of a restructuring to prioritize AI-focused systems and reduce costs.