# Digital River: A Major Merchant Payment Crisis Unfolds! 💸

**URL:** <https://onehack.st/t/digital-river-a-major-merchant-payment-crisis-unfolds/293762>\
**Category:** News & Articles\
**Tags:** business\
**Created:** [October 16, 2024, 4:53pm UTC](https://onehack.st/t/digital-river-a-major-merchant-payment-crisis-unfolds/293762 "2024-10-16T16:53:37Z")\
**Posts on this page:** 1\
**Page:** 1

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**Author:** ![TheJoker](https://onehack.st/user_avatar/onehack.st/thejoker/32/22660_2.png) [@TheJoker](https://onehack.st/u/TheJoker)\
**Post date:** [October 16, 2024, 4:53pm UTC](https://onehack.st/t/digital-river-a-major-merchant-payment-crisis-unfolds/293762/1 "2024-10-16T16:53:38Z")

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**Summary:**

1. **Payment Failures**  
Digital River has stopped paying numerous merchants for software and digital products sold through its **MyCommerce** platform since midsummer.

2. **Merchant Frustration**  
Lee Midgley, managing director of **Traction Software** , expressed feeling “rug pulled” after experiencing a complete halt in payments and lack of support for over three months.

3. **Continued Sales Without Payments**  
Despite not making payments, Digital River continued to process sales from merchants’ customers until the merchants removed them from their order systems.

4. **Leadership Changes**  
The company is reportedly under the leadership of new CEO **Barry Kasoff** , who has a history of managing companies in financial distress, raising concerns about potential liquidation.

5. **Cost-Cutting Measures**  
Digital River has laid off a significant number of employees as part of cost reduction initiatives implemented since late 2022.

**Read more at:** [The Register](https://www.theregister.com/2024/10/15/digital_river_runs_dry_hasnt/)