For those waiting on a bug fix from the current version of King of Fighters XIV version 1.10, SNK has tweeted out that the patch is finished & under review for release (by Sony):
[Regarding KOF XIV Ver. 1.10 issues]
We have finished development on a new patch, which has been submitted and is under review. #KOFXIV
— G-Mantle (ゲーマント） (@SNKPofficial) January 20, 2017
The patch will hopefully change the bugs found in online matchmaking and reverse unintended character changes.
— G-Mantle (ゲーマント） (@SNKPofficial) January 13, 2017