diff --git a/cmd/gateway-main.go b/cmd/gateway-main.go
index 34f6ca8d5..920a8066c 100644
--- a/cmd/gateway-main.go
+++ b/cmd/gateway-main.go
@@ -229,15 +229,6 @@ func StartGateway(ctx *cli.Context, gw Gateway) {
 	globalObjectAPI = newObject
 	globalObjLayerMutex.Unlock()
 
-	// Populate existing buckets to the etcd backend
-	if globalDNSConfig != nil {
-		buckets, err := newObject.ListBuckets(context.Background())
-		if err != nil {
-			logger.Fatal(err, "Unable to list buckets")
-		}
-		initFederatorBackend(buckets, newObject)
-	}
-
 	// Migrate all backend configs to encrypted backend, also handles rotation as well.
 	// For "nas" gateway we need to specially handle the backend migration as well.
 	// Internally code handles migrating etcd if enabled automatically.
@@ -286,6 +277,15 @@ func StartGateway(ctx *cli.Context, gw Gateway) {
 		globalObjLayerMutex.Unlock()
 	}
 
+	// Populate existing buckets to the etcd backend
+	if globalDNSConfig != nil {
+		buckets, err := newObject.ListBuckets(context.Background())
+		if err != nil {
+			logger.Fatal(err, "Unable to list buckets")
+		}
+		initFederatorBackend(buckets, newObject)
+	}
+
 	// Verify if object layer supports
 	// - encryption
 	// - compression
diff --git a/cmd/server-main.go b/cmd/server-main.go
index c249a1fe5..ec57753f1 100644
--- a/cmd/server-main.go
+++ b/cmd/server-main.go
@@ -374,11 +374,6 @@ func serverMain(ctx *cli.Context) {
 		logger.Fatal(err, "Unable to list buckets")
 	}
 
-	// Populate existing buckets to the etcd backend
-	if globalDNSConfig != nil {
-		initFederatorBackend(buckets, newObject)
-	}
-
 	logger.FatalIf(initSafeMode(buckets), "Unable to initialize server switching into safe-mode")
 
 	if globalCacheConfig.Enabled {
@@ -392,6 +387,11 @@ func serverMain(ctx *cli.Context) {
 		globalObjLayerMutex.Unlock()
 	}
 
+	// Populate existing buckets to the etcd backend
+	if globalDNSConfig != nil {
+		initFederatorBackend(buckets, newObject)
+	}
+
 	initDataUsageStats()
 	initDailyLifecycle()