Paradex mistakenly triggered a liquidation due to database maintenance and refunded $650,000 to 200 users

Paradex releases a report on a liquidation event triggered by a maintenance vulnerability, announcing a refund of $650,000 to 200 users.

Paradex had previously planned a 30-minute database upgrade maintenance, but encountered unexpected issues during the upgrade process. A race condition occurred during critical data operations when the service was restarted, resulting in corrupted data being persisted to the cloud and published to the Paradex Chain. As a result, the funding index for some markets was reset to 0, causing abnormal profit and loss and triggering liquidations across multiple markets. Paradex temporarily shut down access to the platform, canceled all open orders except for take-profit and stop-loss orders, and rolled back the blockchain to a snapshot taken before the maintenance window began. According to previous reports, Paradex was temporarily unavailable across the board due to the rollback of chain status during database maintenance.