update 2, for anyone following the saga. seems amazon had an "isse" - see their message to me below. My device is OK after it's overnight sleep and I cannot find anything via google about a general outage.
I did find that email settings and contacts were all lost in this process, as was parental control password for purchases, and auto-backup ON has reset ot OFF. but all other apps' settings seem good.
I also had many greyed out icons after the registration loss, Mayday had me fix it st time buy deregister - sync all, re-register, but google found a better solution for 2nd time. Just run a free app called clean master from their store.
This is xxxxx from Amazon Kindle.
Further to our previous correspondance regarding your Kindle de-registering from your account, we have been notified by our technical team that they are aware are of the issue, we are working to fix this problem as quickly as possible.
I have just asked if they will tell me what they found & fixed... we'll see.
and a whinge to CS about the overall hassle got me an extra free month of amazon prime.
Overall, despite there being a bug. the help and speed of Amazon's response is most impressive. I dread to think how this would have played out with an out of warranty Kobo device