There was a question on another (now closed) thread about the availability of the special F&W Gift Cards availability and purchasing.
Disney does not allow you to use a Disney Gift Card to purchase another Disney Gift Card. However, there is nothing to prevent you from applying the Disney Gift Cards to your Resort Folio and then purchase Gift Cards at another location.
Also, at the two water parks we sell Disney Gift Cards that are half the size of a regular card and come with a wristband. These are the same size (just different artwork) as the F&W Gift Cards. And they can be used at any location on WDW or The
Disney Store.