Paradex user complains of a loss of $219,000: platform mistakenly quotes and forcibly liquidates positions

According to user Systemic Strategies, after trading options with extremely low implied volatility on Paradex, their account was subsequently locked and positions were forcibly liquidated, resulting in a loss of $218,922. The user had considered reporting the options pricing issue through the bug bounty program and even sent an email. However, after testing, they found that unrealized profits and losses could not be withdrawn, and that Paradex market makers did not adjust the quotes, so they continued to trade normally. Later, the platform acknowledged the pricing error but claimed that the user violated trading rules, labeling them as an "attacker" and refusing compensation.