Blockchain and AI Vibe-Coding will dethrone Amazon web services: Crypto exec

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The emergence of AI-based no-code tools that allow users to build applications using linguistic prompts rather than computer code, decentralized using blockchain technology, will challenge the dominance of Amazon Web Services (AWS) in the cloud computing market.

No-code tools democratize access to application development and customized user experiences that will require constant updates and maintenance from artificial intelligence, Lomesh Dutta, vice president of development at Dfinity Foundation, a nonprofit that is leading the development of the Internet Computer Protocol (ICP) ecosystem, told Cointelegraph.

The boost in user-generated applications eliminates the need for centrally managed software solutions hosted on centralized servers.

In 2025, AWS will continue to dominate the cloud market. Source: Politician

“When applications are continuously generated and developed by artificial intelligence, you need infrastructure that is secure, tamper-resistant and able to operate online without constant human intervention,” he said. Lomesh added:

“Decentralized blockchain networks have introduced a revolutionary computing paradigm: by eliminating central points of control, they enable the creation of secure, reliable and fault-tolerant software.”

A significant portion of cryptocurrency companies and Web3 projects rely on AWS’s centralized infrastructure to power their consumer-facing applications and websites, Internet Computer founder Dominic Williams told Cointelegraph.

Related: Cloudflare’s failure shows why cryptocurrencies require comprehensive decentralization

AWS outages will shake up the cryptocurrency industry in 2025

There were several AWS outages in 2025 that impacted many cryptocurrency platforms and exchanges that operate AWS servers and data centers to host their applications.

The first outage occurred in April, causing disruptions to centralized cryptocurrency exchanges including Binance, KuCoin and MEXC. During this time, Binance temporarily suspended payments until normal operation is restored.

In October, AWS experienced another outage, causing disruptions to cryptocurrency exchange Coinbase’s mobile app, with users reporting login issues, slowdowns, and withdrawal issues.

Amazon, decentralization, cloud services, cloud storage, Web3
AWS reports an outage on October 20. Source: AWS Health Dashboard

The outage affected other financial applications, including mixed-asset brokerage platform Robinhood and Web3 wallet MetaMask.

The October AWS outage lasted about 15 hours and highlighted the level of dependence of crypto and Web3 projects, which market themselves as decentralized alternatives, on centralized cloud infrastructure providers.

Crypto’s reliance on centralized infrastructure has drawn criticism from several crypto industry executives, including Jamie Elkaleh, chief marketing officer at cryptocurrency wallet company Bitget Wallet, and Carlos Lei, co-founder of the decentralized physical infrastructure network (DePIN) Uplink marketplace.

“Decentralization has been successful at the ledger layer, but not yet at the infrastructure layer,” Elkaleh told Cointelegraph in October.

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