If Web3 is decentralized, why do DeFi dApps still break when the cloud goes down?

If Web3 is decentralized, why do DeFi dApps still break when the cloud goes down?

On Oct. 20, a hiccup in Amazon’s US-EAST-1 region set off a chain reaction across the crypto industry. Coinbase reported degraded service, Infura and Alchemy posted AWS-related incident notes, and several wallets and rollups began timing out.
None of these failures came from the blockchains themselves. Consensus was fine. The problem was everything wrapped around it: the cloud databases, RPC gateways, DNS, indexers, and key-management systems that turn a blockchain into a usable app.
It was a sharp reminder that much of Web3 still leans heavily on Web2. When one region of AWS sneezed, a quarter of crypto’s user interface caught a cold.
The invisible monoculture
Behind the rhetoric of decentralization lies a quiet dependency map that looks strikingly centralized. A typical dApp starts with a frontend hosted on S3 or Cloudflare Pages, served through a CDN such as Fastly, and resolved by Route 53 or Cloudflare DNS.
Beneath that are read and write RPCs, often Infura, Alchemy, or QuickN

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