Thanks for those who have commented on this thread post. I emailed them before i posted this, still no anwser from Envato… but support from those in the community which i just want to say thanks.
As for the comments about the accounting portion. I do understand
Accounting wise:
the customer gives the company $20 in cash
the company gives the customer a $20 gift card
the company enters the $20 in cash on its books
So far, it looks just like the local retailer who uses cash accounting. But for a company that uses accrual accounting, it doesn’t stop there. The gift card obligates the company to deliver $20 of merchandise to the customer at some time in the future. To represent that fact on its books,
the company enters a $20 liability, called “pre-paid sales” on its books
So a $20 gift certificate, sold by a local retailer who uses cash accounting, puts $20 of cash into the retailer’s drawer. But a $20 gift card, sold by a company that uses accrual accounting, doesn’t add to the company’s revenue, because it’s offset by the pre-paid sales liability.
Eventually, the customer redeems the gift card for merchandise. Then
the company delivers the merchandise to the customer
the company invalidates the gift card in their database
the company removes the $20 pre-paid sales liability from their books
Only after the pre-paid sales liability goes away can the company recognize the $20 of revenue, and any associated profit.
If the gift card isn’t redeemed—if it’s lost or forgotten—then the company can never remove the liability from their books.
I did not however see anything posted to tell me that it was expiring, I had been on this site looking to buy a new wordpress template this entire last week, their was no banner or anything letting me know the funds were going to expire.
Maybe Envato needs to hire one of you talented people to help make sure customers are fairly warned multiple times that their money which they deposited is going to expire.