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Network performance and security company Cloudflare experienced a widespread outage around 2:30 a.m. Tuesday, affecting multiple sites on the network.
“The Cloudflare team is aware of the current service issue and is working to resolve it as quickly as possible,” the company said. tweet around 3 am
Popular platforms using Cloudflare technology, including Discord, Shopify, Grindr, Fitbit, and Peloton, as well as popular cryptocurrency exchanges, such as FTX, Bitfinex, and OKX, were among the companies affected by the outage.
By 4:08am, Cloudflare tweeted again that “the incident has been resolved.”
Still, the impact of the disruption to the crypto space has raised concerns about the overall security of centralized cryptocurrency platforms, TechCrunch report.
Related: Crypto Exchanges Shut Down Withdrawals After Hackers Reportedly Steal $33M in Bitcoin, Ethereum
When FTX falls, it forces users to trade in a “post-only” mode, meaning that orders can only be placed by “makers” (people who set buy or sell prices).
The incident further intensified the debate between centralized and decentralized exchanges. While centralized exchanges are monitored by regulators, some argue that they are more vulnerable to hackers due to their larger trading volumes.
Decentralized exchanges — which involve direct transactions between users — remain risky, but assets are stored in self-custody wallets rather than on the entire platform. The scale of the cryptocurrency loss remains unclear due to Cloudflare’s fury.
