Updated: Amazon has now released Kindle 3.6.2 to the App Store. This version is okay to download.

Previously:

Amazon has recently updated their popular Kindle app for the iPhone/iPod touch and iPad. However, the update comes with a bug, which Amazon has acknowledged in the App Store.

Version 3.6.1 comes with the following warning:

Note: There is a known issue with this update. If you are an existing Kindle for iOS user, we recommend you do not install this update at this time.

Cult of Mac claims that when you install this update, a user’s e-book library is entirely wiped off the device. This isn’t such a big deal given that a user’s e-book catalog is permanently stored in a cloud. Still, it is annoying.

Most likely, Amazon will fix this soon. Stay tuned.