Paph's usually like to have a re-pot every year. Those are some nice healthy roots, and a lot of them for such a small area. You might do well to put it in something larger - but not too large!
And that looks like Sphag moss that it's in right now. You can get some fresh stuff of that, or use a bark mix. I'm not sure where you are, or what's available to you, so it's hard to say. You can order many things online now, of course.
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