As a recent entry to the collectible hobby myself I know I'd be furious if someone cancelled my outstanding paid for pre-orders. But to not even offer compensation is outright criminal. Collectibles are very expensive.
I intimately know the feeling because I've had a bunch of open pre-orders with a collectible store, that I've been waiting patiently for over a year. Only for them to announce out of the blue that they were acquired by another company and basically going out of business, with the new owner taking over their store and stock. After I learned about this I contacted the new management who told me that their predecessors left a mess and they were going through hundreds of unfulfilled but paid for orders and that they'll get back to me about mine in one or two months.
They did get back to me not even that much later than promised, but with bad news: The previous staff failed to order in my collectibles and now they were all sold out both at the manufacturer and distributor level. So I not just missed out on a bunch of cool stuff, but was still out of pocket at this point for about €700. Told ya, collectibles ain't cheap. And I'm into collecting the cheap-ish stuff, because the expensive collectibles start from €1000 and can get up to the moon for 1:1 statues and such.
But to cut the story short, they offered me store credit, which I respectfully declined because I did not want any random collectibles I wanted those specific items I ordered. And this was also during the period of runaway inflation, so when I paid that €700 it was buying much more than when they offered the credit. So finally they agreed to refund me, which still meant eating the losses due to inflation but at this point I think I got the best possible outcome.
