Oct 30, 2022
What if AWS said Goodbye to Web3?
It’s no secret that Amazon Web Services (AWS) is the king of the cloud. They’re the biggest and most well-known cloud provider, with a ton of features and services that cater to businesses of all sizes. But what would happen if they decided to say goodbye to web3?
Amazon Web Services (AWS) is one of the most important and influential companies in the web3 space. They are one of the few companies that have been able to provide reliable and affordable cloud services to the web3 industry. If AWS were to say goodbye to web3, it would be a major blow to the industry.
“It would be the end of the world as we know it.” OK, maybe that’s a bit of an exaggeration, but it would definitely be a big deal if Amazon Web Services (AWS) decided to no longer support crypto assets and blockchain applications. Blockchain is one of the most popular use cases for AWS, and there are a lot of people who have built their businesses on top of AWS’s infrastructure. So, what would happen if AWS said goodbye to web3?
The Impact of AWS’s Decision
This decision by AWS is sure to have far-reaching implications.
Major cloud providers could take a lead
For one, it could lead to other major cloud providers following suit and also deciding to distance themselves from web3. This could create a domino effect that would ultimately make it harder for people to use web3 on a day-to-day basis. In addition, this news is sure to spook investors and could lead to a sell-off in the crypto markets.
It would be bad for new budding web3 startups
Many blockchain startups rely on AWS for their infrastructure needs. If AWS were to stop supporting web3, it would be a major setback for these companies. They would need to find another provider or build their own infrastructure, which would be time-consuming and expensive.
It would undermine trust in Blockchain technology
If one of the largest tech companies in the world decides to distance itself from blockchain technology, it would undermine trust in the space overall. This could lead to a slowdown in innovation and adoption, which would be bad for everyone involved.
Dependence on AWS
AWS has been a major player in the web3 space since 2014, when they launched their Elastic Compute Cloud (EC2) service. EC2 has been used by some of the biggest names in crypto, including Coinbase, Kraken, and BitMEX. If AWS were to pull the plug on crypto, those companies would have to find another provider.
AWS offers a number of services that are popular with web3 enthusiasts, including S3 storage and Lambda functions. If AWS were to say goodbye to web3, those users would have to find alternatives.
Statistically speaking, AWS accounts for almost 57% of the cloud provider service for Ethereum. This means that AWS alone handles more node operations than all other cloud providers combined.
This is alarmingly dangerous concentration of power into the hands of one single company.
Why would AWS make such a decision in the first place?
AWS is no longer interested
First, it could be that AWS is simply no longer interested in supporting web3 activities like mining and validator operations.
Environmental concern
Second, it could be that AWS is concerned about the environmental impact of crypto mining. With the growing calls for action on climate change, it’s not surprising that companies are starting to reevaluate their environmental policies.
Using AWS is no longer profitable
And lastly, it could be that AWS is simply no longer profitable. With the price of Bitcoin and other cryptocurrencies falling sharply over the past year, it’s possible that miners and validators are no longer generating enough revenue to justify the cost of using AWS.
How will the web3 world react to such a decision?
Reaction #1: Devastation
The first reaction from the Twitterverse will be the one of devastation. Users will mourn the loss of AWS and wonder what they will do now that their go-to provider is no longer an option.
Reaction #2: Anger
Along with devastation comes anger. Some users will be angry at AWS for making this decision and angry at themselves for not seeing it coming. They will also be worried about how this will impact the future of web3.
Reaction #3: Determination
But not everyone will give up so easily. There will be those who are determined to find a way to keep running their web3 operation running.
How would the web3 industry survive without AWS?
There are a few ways that the web3 industry could survive without AWS.
Use alternative providers
One way is by using other cloud providers such as Microsoft Azure or Google Cloud Platform. However, these providers are not as well equipped to handle the needs of the web3 industry. They do not have as many features and they are not as affordable.
Build their own infrastructure
Another way is by building their own infrastructure. This would be a very costly & time-consuming endeavor. The web3 industry does not have deep pockets like Amazon does. They would also need to find individuals with the necessary expertise to build and maintain this infrastructure. This would be a difficult task given the current talent shortage in the blockchain space.
Use a Decentralized cloud provider like Akash
Akash is built on top of Kubernetes, which makes it easy to containerize and orchestrate your applications. And because Akash is decentralized, you don’t have to worry about vendor lock-in or single points of failure.
Akash is important because it provides an alternative to the centralized cloud models offered by AWS and other major providers. By decentralizing the infrastructure, Akash makes it more resilient and scalable. Additionally, because Akash runs on top of a blockchain, it has the potential to provide unprecedented transparency and security for users.
No one knows for sure what will happen once AWS says goodbye to web3. However, one thing is certain: many developers will be left scrambling to find a new home for their hosting operations. So, if you’re a developer who uses AWS for your crypto needs, make sure to start looking for a new provider sooner rather than later.
But what if that provider says goodbye too? Time to look into a Decentralized provider like Akash.
So, what do you think? Would it be the end of the world if AWS said goodbye to web3? Or do you think that the web3 community would find a way to fight through and adapt a Decentralized provider? Let me know in the comments!
