A lot of gamers and industry experts agree that digital distribution is much better than traditional brick-and-mortar distribution and that it will replace it eventually.
Digital distribution does indeed have several advantages over the traditional methods. Those advantages include cheaper prices, worldwide 24/7 availability, no physical media damage and ease of updating. However, it seems there are also a few unforeseen drawbacks.
Touch Racing Nitro is a successful game that made its way to the top 10 paid Arcade and Racing iPhone Store charts when it launched at a price of $6.99. The game sold thousands of copies at different price points before a new update locked 2 of the game's 3 racing modes behind paywalls and littered the remaining portion with ads.
To make matters worse, the iPhone Store license agreement states clearly that "According to the iTunes Store Terms of Sale, all purchases made on the iTunes Store are ineligible for refund. This policy matches Apple's refund policies and provides protection for copyrighted materials."
As it stands, there is nothing the victims could do beyond giving the game 1 star ratings on the iPhone Store.