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I'd been reading up quite a bit about DAC's as I am currently in the market, and had my eyes on a few options - with DSD capability being a prerequisite. Interesting read over at Positive Feedback though about using offline conversion from DSD to hi-res PCM files in lieu of using a DSD-capable DAC:
Musings on DSD
In a nutshell, they use an inexpensive program to convert the DSF files to 24/176.4 (the PCM equivalent of 2.8MHz DSD) and play it back on a non-DSD DAC. The removes the need for the processing to happen on the fly in the DAC itself.
Musings on DSD
In a nutshell, they use an inexpensive program to convert the DSF files to 24/176.4 (the PCM equivalent of 2.8MHz DSD) and play it back on a non-DSD DAC. The removes the need for the processing to happen on the fly in the DAC itself.