I specifically said and a process that is the exact opposite of that. Lemme try again.
There is a DAC chip in both the Shanling M3X and the Dethonray. A DAC is a Digital to Analogue Converter.
The only input to feed a signal into the Dethonray is a digital USB input. Therefore, anything feeding it a signal has to send a digital output.
Therefore the Shanling has to output a digital signal so the Dethonray can receive a digital signal input. If the Shanling DACs the audio then you've already converted the signal from digital into analogue (ie, DAC in bold letters), and can't go into the Dethonray to begin with. In short: only the Dethonray's DAC matters, unless the Shanling uses an integrated DSP-DAC chip in which case if you use EQ etc then the DSP section still works. If it's not a DSP-DAC chip (like on some car processors and older receivers) but you still run DSP then the DSP is fully software running off the CPU of the DAP