In short, the answer to this question is no. Godaddy did not steal your domain name. 


What to Look Out for When Registering a Domain Name

• Every domain registrar charges an annual “Renewal Fees” • Try to register your domain for more then 2 years or the max • Make sure domain auto-renew is turned on


Why Does Godaddy Auction Off Expired Domain Names?

When your domain name expires anyone can buy it. Most domain registrars release names to the public for anyone to register, but Godaddy will often send expired domain names to their auction.