Paragon was a struggle from the start.
The PC/PS4 cross-platform was a great idea, but it made the gameplay feel even slower than SMITE because you had to cater to both mouse and gamepad users.
Their character designs were all over the place. At least League tries to keep some general themes and lore going on, but Paragon went from one extreme to the other. There was a rock-em-sock-em robot, a K-POP singer, an even edgier Edgelord than Reaper, a Femshep, a T-1000, and other random stuff.
They tried at least 3 different versions of their card/item shop but it was always so needlessly bulky and difficult. They needed to keep it simple.
An announcement was made a few weeks ago that the Paragon team was being downsized while they decided what to do with the game. Those members would be moved to Fortnite because of its need for help. Edit At the time of this annoucement, the Paragon team stated that the game population was stagnant; no gain nor decline.
As for the refund, this tells me that Fortnite is such a massive success that they have the means to award these refunds. Yes it is a great move, but it is also impressive for Fortnite.
I just might request that refund and put the money back into Epic as either llamas or Battle Royale stuffs.