Outages are the new dark ages of the Crypto Business World
A lot of young investors are working from home during the COVID-19 pandemic, and investing few of their office hours in trading cryptocurrency bitcoin on online platforms like Schwab, TD Ameritrade and Robinhood. However, blackouts have gotten wild amidst the high volume.
Customers were facing trouble signing in Robinhood. Such problems were faced by giants like TD Ameritrade and Schwab as well. The stock splits of Apple and Tesla is claimed to be the reason behind these outages. Over 400 complaints have been raised to U.S. regulators since the beginning of 2020 against Silicon Valley-based giant Robinhood. Even TD Ameritrade users experienced sluggishness on its user platforms but the company could not answer the reason behind it. It is evident that Robinhood is not alone encountering such issues. As the number of new and young investors are growing and the amount of money, they are putting on various business sectors, including the crypto business world using online systems amid the pandemic; outages have become a typical problem
Similar to traditional platforms, crypto trading is also pained by outages for a long time. Even though companies have promised to find a way to improve dependability and decrease blackouts, no big changes have been found in their operations. Many platforms use needless load balancers to maintain the interface between multiple nodes, gateways to user platforms, which are connected to an exclusive master node. If the master node gets affected the whole chain crashes. Major US Companies have been working on reducing the downtime by having special disaster recovery facilities in remote locations like Zurich
Sometimes wrong codes can bomb the system, a change in news code if not tested properly can bring out unplanned troubles. Hardware failure is another issue which disturbs the set routes. The solution is building a mechanism to counter this redundancy. Though an increase in traffic of users is good for any business, a sudden spike results in overload and thus disrupts the flow of operations. Circuit breakers can be the troubleshooters to sudden spikes in trading volumes which at times also result in wild market fluctuations in cryptocurrencies prices. However, the introduction of circuit breakers could hinder an individual transaction’s completion when the service is down.
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Crypto Business World
CBW - External Analyst