PS audio Perfect Wave DAC MKII or Metrum Octave

One thing more. I believe that any up-sampling/over-sampling, filtering, etc should be done in the computer and not in the DAC.

The drawback I see is the need to send more data to the DAC.

Well all the "data" is processed in the computer. You are actual sending less not more. And most computers today (64 bit, quad-core, 16gb ram) can easily handle all of it plus more at the same time vs the most modern DAC chips. Plus the computer and the software can be easily updated vs the DAC chip inside the DAC. And why add more and hard to do tasks for the DAC Chip to perform.
And the speed of the USB connections in the most current DACs can easily handle the flow.

I am not saying you have to up-sample etc, just that if you wanted to that to do it in the computer is IMHO the better way.

So by your statement all the data is being sent to the DAC because the DAC IS up-sampling all the time. Now maybe there is a small computer in the Vega. But why would I want a small under powered computer that is noisy inside my DAC. If the Vega gave me a choice to up-sample or to not then maybe I would consider it. Assuming there is no internal computer in it.

And yes I realize that all/most DACs have a sort of computer in them. Just not the type I mean.

Well all the "data" is processed in the computer. You are actual sending less not more.

When you upsample, you are adding bits. Upsample from 16 to 24 bits increases the file ~6X. If Upsample on computer, how are you sending less and not more to the DAC?

Well yes and no. what I meant was the computer is doing all the data/computational processing of up/over-sampling (and any filtering, etc) and the DAC is not so it is not being asked to do more, it is doing less processing. So the DAC can use all of its capabilities to just play back the "native" audio file. Otherwise the DAC would have to do both/all at the same time. So then the DAC is processing the up/over-sampling, filtering, etc and playing the file so that is more data not less.

I don't understand ... all important is it works for you.

BTW, you can classify DAC as a embedded computer system. It designed for specific applications so should not concern off loading processing from it.