The concept of this game is fantastic, but there are a few areas that need attention.

First, why is Medicine so expensive? Is my Digimon supposed to be a denizen from a Third (Digimon) World?

Second, what exactly is the purpose of the R34P3R? A mechanic that randomly inflicts severe injuries on our Digimon, or even outright kills them, doesn’t seem like a well-thought-out design choice.

Game devs want it this difficult/unfair on purpose. It's not a good game. Just move on and play something better.