yes, assuming you are referring to the coaxial digital out.
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Reading the two responses thus far, both sound a bit vague, but are essentially accurate. I think I can be more specific to your question:
1. Just because a CDP has Coaxial outputs DOES NOT necessarily mean you can use it as a transport with a DAC
2. Per the responses already posted it MUST have a coaxial DIGITAL output, presumably in ADDITION to the standard ANALOGUE coaxial outputs on most CDPs. It is the digital coaxial outputs that will feed the unprocessed digital signal to a DAC. If you fed the signal from the coaxial ANALOGUE outputs to a DAC you would not get anything out of the DAC since it cannot process an analogue signal.
3. According to various sites your NAD C520 DOES indeed have a digital coaxial output, so YES it definitely can be used as a transport for an expternal DAC.
Hope that helps.
My bad then sugarbie. I thought coaxial outputs were RCA outputs. So replace "Coaxial" with RCA in the critical places in my post that most make me appear as an idiot! Pay no attention to that man behind the curtain! I am the great and powerful OZ! Looks like I added more confusion to a simple question...sorry. So, I'm confused (needless to say); then what are the RCA outputs called that output the analogue signal from your run-of-the-mill CDP? Simply RCA outs?!
Actually Jax2, from a purely technical standpoint you are right. All RCA connections are a "coaxial type" connection.
The term is only used to decribe the digital output connection. I guess we assume people are not talking about other RCA outputs which in addition to the audio output include tape-out and pre-out.
I have seen the term "RCA coax" in owners manuals, used for audio outputs on some old foreign gear that also had DIN plug outputs. Today the term "single ended" is usually used to denote an RCA output versus a "balanced" (DIN) output.