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The Product Activation process consists of generating a product key that's unique for your site. It validates your purchase and enables automatic theme updates for your site.
Whenever a new theme update is available, you’ll receive a notification here, in your administration panel and you’ll be able to update without having to leave or manually download or upload files. That’s awesome, so let’s proceed.
Navigate to The Merchandiser > Product Activation and click the “generate a product key” link. The page opening in a new tab will ask you sign-in using your Envato account. That’s just like logging in with Facebook, but it’s your Envato account instead. By doing so, we won’t have to ask you to register for a new account or provide purchase codes when you update the theme or if you reach out for support.
There's clearly a need for having a secondary site (local, dev or staging environment) where you safely perform tests such as development, theme or plugins updates, etc before doing it on a live site so we kept that in mind for the product key validation. To activate your staging environment, when generating a product key, instead or typing in the main domain only, add your local/staging environment url as well, comma separated. Example:
This will allow you to use the same product key and validate both instances.