Paul Johnson Crypto derivatives exchange Paradex faces a major outage disrupting onchain trading operations. The team begins recovery, cancels open orders, and warns users against fake support scams.
Intro:
Crypto derivatives exchange Paradex faced an unexpected outage that disrupted multiple core systems, affecting its entire trading interface and infrastructure. The decentralized trading platform moved quickly to roll back its systems, cancel open orders, and reassure users that all funds remained safe.
Paradex outage sparks major disruption in derivatives trading
Crypto derivatives exchange Paradex experienced a widespread technical failure that took its decentralized trading platform offline. The outage impacted a range of vital systems including user interface functions, blockchain connections, cloud services, and APIs. According to the team’s status page, the issue affected everything from bridge operations to the block explorer and RPC proxy.
The Paradex team immediately launched a rollback and recovery process but did not specify the root cause of the disruption. During the initial recovery phase, the exchange announced the forced cancellation of all open orders except take-profit and stop-loss positions. The move was intended to prevent potential trading irregularities and protect users from exposure during the downtime.
Despite the setback, Paradex assured its community that no user funds were at risk. In a follow-up update, the exchange emphasized that withdrawals had been restored, while deposits via Gigavault remained temporarily paused as engineers continued to stabilize the system.
Paradex leads onchain derivatives despite technical setback
Paradex has become one of the fastest-growing platforms in the crypto derivatives ecosystem, known for its decentralized approach to perpetual futures trading. The exchange allows traders to manage leveraged positions directly onchain without giving up custody of their assets, a feature that has attracted significant institutional and retail attention.
According to data from DefiLlama, Paradex ranks eighth in global 30-day trading volume among decentralized derivatives exchanges, recording more than 37 billion dollars in activity in the past month alone. The outage, though significant, represents a rare operational setback for a platform that has otherwise maintained strong uptime and reliability since its launch.
Clement Ho, Paradex’s director of engineering, later confirmed that the team had identified the technical issue and initiated a rollback to block 1604710. The decision was aimed at restoring system integrity and ensuring that all onchain data reflected the correct pre-incident state.
Paradex warns traders about fake support accounts amid outage
During the outage, Paradex issued an urgent advisory warning its users about fake support accounts impersonating team members. The exchange reminded traders to rely only on official communication channels and reiterated that no legitimate representative would ever request private keys or wallet information.
Scammers often exploit downtime incidents in the crypto space by posing as support personnel, attempting to trick users into sharing sensitive data. Paradex’s swift warning helped prevent confusion and potential phishing attempts during a critical moment. The team emphasized that any unsolicited messages offering “help” should be treated as fraudulent.
Community reactions on X reflected a mix of concern and support. Several users urged the platform to post timely updates to reassure traders with open leveraged positions. Others praised the team’s transparency and speed in confirming that funds were safe.
Paradex recovery continues as users regain access
As of the latest update, Paradex confirmed that vault withdrawals had resumed and that its core trading interface was gradually coming back online. Engineers continue to monitor network performance as Gigavault deposits and withdrawals remain paused for final checks expected to last up to 24 hours.
The outage serves as a reminder of the technical challenges facing decentralized trading infrastructure, even as platforms like Paradex push toward greater resilience and transparency. Despite the temporary disruption, the exchange’s commitment to user safety and prompt recovery reinforces its position as a leading force in the crypto derivatives sector.
For now, Paradex remains focused on completing its post-incident recovery process while maintaining open communication with its global trading community. Users can follow verified updates through the exchange’s official status page and social channels as the platform fully restores its operations.
Disclaimer: Parts of this article were generated with the assistance from AI tools and reviewed by our editorial team to ensure accuracy and adherence to our standards.
