I have a DIP feeding my MSB Link DAC III. I just use a cheap Radio Shack cable to connect the DVD player to the DIP and a pretty decent digital Monster Cable to connect the DIP to the DAC. I think it sounds great. As long as the good cable goes from the DIP to the DAC I think you'll be happy.
How to cable my DIP?
I've just added a new DAC (Classe')which I run balanced via AZ cables to my BAT VK3i. It has added a new dimension to my system while keeping the WAF of the CAL-10 which is now being used as a multi-disc transport. I have picked up a Monarchy DIP which only accepts a co-ax or toslink input. I will run the DIP to the Classe' via an AZ digital aes/ebu cable. My question is, with the digital magic going on in the DIP, does it matter what kind of co-ax I use, assumming that it would at least be a true 75 ohm (probably a Canare) cable?