If temp probe on dyno is accurate something is wrong with the engine, it's either burning up pushrods or bearings etc.

Oil temps should never be over 220ish on a dyno unless intentionally doing it for circle track style endurance testing.

My stuff usually stabilizes around 195 oil temp on break in, then during pulls will be in the 160-190 range never higher. Only time I have ever seen over 210 was burning up valvetrain or had hard block in it.

I assume it built oil temp very quickly as well?

We usually break them in around 25% servo load & 3000 RPM. Should take about 7-8 minutes to build 160* oil temp. If does it quicker then I know something is up....

The one filled block I did on gas got to 220 temp pretty quick during break in, but after it stabilized we ran it all day & oil temps never came anywhere near 220 again, stayed in 190's all day during pulls.

Like I said if you trust the temp probe the engine should be coming off for disassembly/inspection. Put a temp gun on the pan if you have one....