Here is the exact response I recieved.
Zhana (Fiverr Customer Support)
Jun 11, 2020, 2:46:01 PM EDT
We are sorry to hear of your experience. When a payment is disputed with the payment provider, we both lose out on the sale, as the money is returned back to the payment provider in most cases.
To understand this process further, payment disputes can be opened for fraudulent purchases, and cancelling the order and returning the funds is the only way to protect you and Fiverr from further damages. This is the reality of all marketplaces and transactions handled on the internet: some payments will be disputed.
If there are any other issues that we are able to resolve, please let us know.
We are talking about an order that WAS delivered on time, and confirmed by the customer, The customer even left a 5 star review, explaining how I sat up until 5am to complete his order. I withdrew these funds already. The money Fiverr has taken from me 2 months later is for a completely different completed gig.