LBank CEO Allen Wei Addresses Cloud Service Provider FUD

A temporary outage of LBank’s trade platform in December sparked discussion among users about how exchanges should approach cloud hosting. LBank CEO Allen Wei addressed the issue during a Twitter Space AMA on December 26th.

Why this matters: Veteran crypto exchanges like LBank are trying to uphold a long-standing reputation of seeing little service downtime and thwarting hackers. 

Driving the discussion: Alibaba Cloud, LBank’s Cloud Service Provider, experienced technical issues on December 18, rendering the trade platform temporarily inaccessible for over 7 million users.

• “Our engineers got word from Alibaba Cloud that there was a server crash ongoing and immediately started collaboration. It took quite some time to recover our services, but luckily we recovered access to our websites through other cloud services quite early on. The incident not only affected us, but a lot of other exchanges and internet companies,” Wei said.
• LBank stresses that these kinds of outages have no impact on user assets whatsoever. “We take regular back-ups of platform data. The wallet side is especially secure because we utilize cold storage controlled by our own servers,” Wei added.
• Addressing the FUD that popped up on social media during the incident, Wei stated this phenomenon isn’t an abnormality in the financial industry. “We’ve been through this before ever since kicking off in 2015 and are nonetheless still supporting crypto and blockchain tech. The community continues to trust us and trade on our platform, which underlines the potential of crypto,” the LBank CEO said.

The Big Picture: Wei points out that exchanges should approach cloud hosting with a multipronged strategy.

• The exchange will take even more frequent back-ups of platform data in the future and will look towards other Cloud Service Providers to mitigate downtime. “We are slowly moving some of our services to other Cloud Providers, like Amazon”, Wei stated.
• Continuing to provide excellent stability of the trading platform is an integral part of LBank’s global goals, Wei said. “In 2023, we would also like to expand on the local community relations we established this year”, he concluded.

About LBank

LBank, founded in 2015, is an innovative global trading platform for various crypto assets. The exchange provides its users with safe crypto trading, specialized financial derivatives, and professional asset management services.

It has become one of the most popular and trusted crypto trading platforms, with over 7 million users from more than 210 regions around the world.

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