The worth of Bitcoin dropped to $0 in a single day on the PERPS decentralized trade Paradex after a database migration difficulty affected the Paradex blockchain, its block explorers, bridges, and APIs, based on many customers.
The issue was first reported on Paradex Standing Web page (Monday 12:36 a.m. ET)shortly after the worth of Bitcoin plummeted to $0 on exchanges and social media posts confirmed indicators of a collection of liquidations.
Round 2 a.m. ET, the trade recognized the difficulty and initiated a repair that rolled again the state of Paradex Chain, a blockchain constructed utilizing the Starknet stack. Starknet is a layer 2 scaling community for Ethereum.
🩸🚨Nicely, once I posted the screenshot, I believed it was a UI bug.
Then I noticed on my pc that the worth went to $0 after which got here again.
Hundreds of liquidations are presently underway.
This doesn't look good for @paradex ☠️ https://t.co/m4YbnfHkgN pic.twitter.com/QbKd3U432s
— Sniper₿ (@sniiperrB) January 19, 2026
“We now have recognized the difficulty and plan to roll again the chain state to dam 1604710,” the standing replace says. “That is the pre-DB upkeep level and the final identified good state. All accounts can be restored to their pre-DB upkeep state. We’ll present extra updates as we proceed with the rollback.”
Shortly thereafter, Paradex forcefully canceled all remaining excellent orders and confirmed at roughly 5 a.m. ET that every one consumer funds have been secure as the gathering course of was underway.
“Restoration efforts are ongoing. We will verify that every one consumer funds are SAFU,” a put up on the standing web page at 5:16 a.m. ET stated.
It’s nonetheless unclear how a lot the liquidation quantity reached, however based on DeFiLlama knowledge: perps protocol has roughly $641 million in open curiosity. The protocol has facilitated roughly $37 billion in financing up to now 30 days.
All Paradex providers at the moment are up and operating, based on an replace on the standing web page.
Trade worth fluctuations are BTCwhich fell from greater than $95,000 to $92,284 simply after 7 p.m. Sunday. A 2% drop up to now 24 hours eroded the highest crypto asset's weekly achieve, which now stands at 1.4%. BTC Lately modified commerce for $93,318.
slide brought on a rise within the variety of liquidationsthat quantity has grown to greater than $875 million up to now 24 hours, of which $234 million may be attributed to Bitcoin. Information from CoinGlass.
