Time capsule deleted all my data and overwrote it with a backup

Question

I found Time Capsule in finder and it let me create a folder and put my stuff in it. I was using it as an auxilliary hard-drive right next to the backups.
I put DVD installation media, old files, student work history, and a lot of stuff on there.
Time Capsule decided to delete all of my data one day to make room for a backup.
People should know this.
Do not put anything on your Time Capsule that you want to keep, unless perhaps it's on another partition (if that works).
I'm not too disappointed about it as it wasn't my critical stuff, but still. It's lost forever now.
And it's supposed to be a Time Capsule for @#($*%& sake.

Answer 1

JKMarshal wrote:
I found Time Capsule in finder and it let me create a folder and put my stuff in it. I was using it as an auxilliary hard-drive right next to the backups.
That's not a good idea.  See #Q3 in Using Time Machine with a Time Capsule for details.
Time Capsule decided to delete all of my data one day to make room for a backup.
No, it didn't.  Time Machine cannot delete other data to make room for backups.
Under extreme circumstances, when it finds your backups corrrupted beyond repair, it may delete all your Time Machine Backups, but not until you confirm via this prompt:
What most likely happened is, something happened to the Time Capsule or its disk that damaged/corrupted everything -- your backups and other data.
How old is it?  They don't last forever;  most seem to run well for 3-4 years, but some fail earlier, others live longer. 
Do you have power failures?  If so, those are murder on electronics.  Consider getting a small U.P.S. system for your Time Capsule (and modem, etc., as appropriate).