Dont you think I should get the money refunded in BTC at the same quantity since I paid in BTC and I am getting the money back in BTC I didnt receive any USD payment
You have to ask yourself whether you'd like him to refund you the same quantity of BTC (0.346) if it had gone down (for example $900/BTC).
Maybe the best way could be to ask the refund in PayPal? I understand if you don't want any other PayPal payment from COINMAN1 so an option would be for him to refund in BTC at current value plus he finds you a trusted member willing to buy those BTC from you at the current value so you get the original USD value ($475).