Ethereum NFT holders were affected by the recent AWS outage, which prevented the blockchain from loading tokenized data. This raises questions about the role of centralization in modern cryptocurrencies.
Frankly, it’s difficult for someone to claim to “own” an NFT when access can be blocked by third-party technical issues. This issue could prompt migration to other blockchains or further decline of the NFT sector.
Suspension of Ethereum NFT
Yesterday’s AWS outage wreaked havoc across the internet and disrupted digital infrastructure around the world. The ongoing issues also highlighted the concerns of the crypto industry, as major Coinbase functionality continued to go down.
However, another worrying development is that AWS has taken NFTs on Ethereum offline.
When Amazon AWS crashed, half of the cryptocurrencies went down, and much of the internet went down.
Coinbase, L2, some ETH nodes, NFT jpeg.
When you purchase NFTs with ETH, they are stored on servers that may be offline. When you purchase an ordinal number with BTC, the ordinal number is stored on the Bitcoin network. Big difference. pic.twitter.com/YqfXXpp3Tf
— Duo Nine⚡YCC (@DU09BTC) October 21, 2025
Thanks to its important role in DeFi infrastructure, Ethereum has been the undisputed home of NFT projects for many years. But apparently, this product area is not very decentralized.
This AWS outage makes it clear that an isolated third-party technical issue can cause a major setback to some of the biggest pillars of the crypto economy.
Some community members have suggested that Ordinals, a Bitcoin-based NFT system, could take over some of Ethereum’s share in this market. But even that may be a wrong assumption.
Who owns your assets?
Demand for NFTs has declined across the board, with some of the sector’s biggest recent developments involving publicity stunts and international crimes.
The “sales pitch” for NFTs is that users can leverage blockchain technology to gain actual ownership of digital assets, encoded art, and other intellectual property on a decentralized system.
If this assumption is incorrect, it may prompt a further decline in demand. How can one “own” an Ethereum NFT if access can be completely disabled due to external factors?
NFTs are great because you obviously “own” them, but yesterday’s AWS outage wiped us all out lol
— Onion person (@junlper.beer) 2025-10-21T12:51:59.435Z
Additionally, security experts are concerned that the AWS outage will continue further in the coming days. If Ethereum NFTs continue to go offline like this, it seems like a bad omen for the sector as a whole.
We will have to watch the situation closely and decide whether Ordinals will take over market share or if the market will simply shrink completely.
The post Amazon’s AWS outage exposes critical vulnerability in Ethereum NFTs appeared first on BeInCrypto.
