Both crypto exchanges and popular online trading platforms including Schwab, TD Ameritrade and Robinhood have a rising number of young investors who, working from home during the coronavirus pandemic, spend some of their work hours trading for their own personal accounts.
However, these platforms have another thing in common: outages in the midst of high volume.
On Monday, login issues were reported from customers on Robinhood, along with a few other similar trading platforms including giants TD Ameritrade and Schwab. The outage was allegedly caused by the stock splits of Apple and Tesla. Silicon Valley-based Robinhood was the subject of more than 400 complaints reported to U.S. regulators during the first half of 2020.
A spokesperson from TD Ameritrade acknowledged “high levels of slowness” some users experienced on its web and mobile platforms but did not offer an explanation of the cause. As of press time, Robinhood and Schwab did not respond to inquiries from CoinDesk.
Robinhood apparently is not alone during a time when a growing number of new and young investors are betting their money on different markets, including cryptocurrencies, by using online brokers amid the coronavirus pandemic.
Like traditional platforms, crypto exchanges have been troubled by outages for a long time, even after they pledge to take more steps to improve stability and reduce outages. These mainstream companies may be able to learn something from the experience of crypto exchanges.
The need for redundancy
After suffering a severe service outage in late August, Deribit, the most popular cryptocurrency options exchange, told CoinDesk it is working to enhance its platform to avoid this happening again.
“Our platform uses redundant load balancers to connect to multiple nodes, gateways to the platform, connecting to a single master node,” Luuk Strijers, chief commercial officer at Deribit, told CoinDesk…