Welcome on board. Both chipsets are offered. 4398 is on the paper technically superior (hence $100 difference I guess), but again, some guys here prefer sound of 1852. I would use analogy of RS-1 vs RS-2 debate on numerous threads. Boils down to personal preference.
The unmodded Zhaolu comes with stock headphone amp which isn't a star performer. Apparently the discrete head amp mod offered here for $60 brings it to the level of mid-priced dedicated solid state phone amps. I've read some favourable comments on this mod on Zhaolu thread - bottom line - it is claimed that you can get a hell lot of sound for not much of the dough.
So, yes, you may end up with a DAC and a decent headphone amp in one package.
I'll send you PM containing Daniel's email with instructions how to get into it and some other details (I have it on my work computer, check your PM in the morning).
On ya, mate.
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