Owning the disk does not entitle you to the digital version of Desitny. You have the disk license on the disk, if you want to use the downloaded digital version, you'll need to purchase Destiny: The Collection digitally from the Xbox Marketplace.
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Even with the disc in it doesn't remove it and I cannot get it to fully install from the disc. I have tried everything suggested to get it to install including turning off my net to let it do the initial disc install