Follow these steps to resolve:
Remove the driver from Start > All Programs > Lynx Studio Technology > Uninstall Lynx Driver (or C > Program Files > Lynx Studio Technology V2Uninstall or V3Uninstall)
Reboot when prompted
Run the driver installer, but do not continue once the DIFXAPI_ ERROR message comes up
Go to device manager
Right Click the Lynx Device under Sound, Video and Game Controllers and choose "Update Driver"
Point the installer to C:\Program Files\Lynx Studio Technology\V2Driver or V3Driver for the driver files
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