This is an inexcusable dark pattern. Two things need to happen:
1. The operating system needs to provide a "screw you, never" option for any permissions.
2. We as engineers need to say "screw you, never" to requests to implement behavior like this. Sure, this could be a bug, but I see the same behavior with Venmo and location access.
Personally I'm rather disillusioned with where we've found ourselves. This sort of adversarial relationship in which people are property of a platform and treated as such is winning.
Edit: Venmo had been set to "Only while using the app" and was prompting to enable location services on the device, not for permission. That's my own fault.