Hi Amos - M3U playlists (created externally) have been able to be used for quite some time. I have all my test tracks on an externally created playlist.  Plenty of how-tos available - but I'd be happy to walk you through creating one if you want.

@Brooko  Thanks. I started writing this review a while back but only got around to finishing it now, as I was going to shoot a video about it at the same time. I've obviously missed the M3U support when I did the last firmware update.

Link on Fiio's forums - http://fiio.me/forum.php?mod=viewthread&tid=40017
Example of one of mine (opening lines) - http://www.head-fi.org/t/743704/the-fiio-x3-2nd-gen-ex-x3k-x3ii-thread-192k-24b-cs4398-native-dsd-usb-dac-with-lo-and-inline-remote/2550#post_11536092

I remember this now, thanks. The playlists have to have the paths delimited by a backslash "\" rather than a forward slash. The microSD card I have been using lately doesn't have any of these playlists on it.

Though I generally agree with pretty much everything said in this review, I feel sad to see that it got only 3 stars. I think it is a marvelous dap and punches above its price point. Also does several very important key things in audiophile dap industry better than most other and more expensive daps.
 
Needless to say, in Currawong we trust.

I do have to use mine with a Cayin C5 for over ears myself but the customization of themes is amazingly easy and makes it a very personal experience in the interactive sense. Thanks for linking to the Mod thread. It's a great sell point that FiiO never mentions itself.