Ok, I spent a couple of hours at a friend's place comparing the Compass to the Benchmark DAC1 as promised. To compare, we used his electrostatic headphone set-up, which alone is probably worth more than all the other electronics we were using put together.
MacBook Pro -> Van Den Hul Optocoupler ->
Compass or DAC 1 ->
Van Den Hul The Orchid interconnects -> Stax SRM-717 -> SR-007
Audio-gd power cables were used with the Benchmark and SRM-717.
The first impression of the set up with the Benchmark is how clear and detailed the sound is with it. With electrostats, there are no questions about clarity, separation or speed, these things are a given, so it's all up to the source to provide the goods.
We listened to some tracks from a binaural Stax demo disk, Chesky demo disk and various tracks from our music libraries.
What was apparent switching to the Compass (with Earth HDAM) was the very black background around the music, as if the sound were floating in a black space. However the music was filling a smaller portion of that space than with the the very open and wide sound that came using the Benchmark, instruments and vocals seeming less spread out and separate. Switching between the Sun and Earth (I'd forgotten to bring the Moon) it was apparent how the Sun has slightly less bass and treble, giving it a more forward and smooth presentation that emphasises the mids.
While it's hard to describe the degree of difference between the two units, if we rate an iPod at 5 and my Northstar at 100, the Nakamichi Dragon DAC gets 120, the Lavry DA-10 and Benchmark DAC 1 come in at 95, the Zero DAC (stock) would be about 60 and the Compass would be an 80.
This is a good example of the law of diminishing returns. I'd say I was quite right that to get a significant upgrade from the Compass, you'd need to spend somewhere around the $1000 mark, which is what the Benchmark and Lavry cost. There are still quite a few DACs which fall in between, however. Audio-gd's Ref 3 DAC at under $800 will predicably beat it too, not to mention their other DACs that use a multi-bit DA processor.