The sound quality from DACs - is it all the same?

I've been talking to my cousin brother about sound quality. He is a self-proclaimed expert audiophile. He says that Audio Science Review has all of the answers I will need regarding audio products.

In particular, he says an inexpensive DAC from any Chinese company will do better than the expensive stuff. He says fancy audio gear is a waste of money because the data is already bit-perfect.  All DAC chips sound the same. Am I being mislead? 

He also said that any DAC over $400 is a waste of money. Convincing marketing is at play here, he says.

He currently owns a Topping L30 headphone amplifier and D30 Pro DAC. He uses Sennheiser HD 569 headphones to listen to music.  I'm not sure what to think of them. I will report my findings after listening one day! (likely soon, once I get some free time)

- Jack