Best $200-$500 DAC

I think you can get a Musical Fidelity A3 24 used for slightly above your price range. I personally use a Bel Canto DAC2 from my soundcard with great results; you could get one off Audiogon for around $700. I think $200-$500 is a tough price range and that if you're willing to put in just $200 more the increase in quality of the DAC you'd be able to get would be substantial.

You could get a Scott Nixon USB DAC for under $500, and stream directly out of your computers USB port.

Also you could look at something like this:

http://www.positive-feedback.com/Issue24/firestone_spitfire.htm

Hi, A MSB Link Dac 3 sells used for some where in that range and is upgradable with an upsample option as well as an outboard power supply.They can be factory upgraded to full nelson verson.Modwright as well as others do upgrade mods.These units are good sounding rigs and can be upgraded as money allows.And as another post states: Musical Fidelity A3 24 for a few more Bens($100 bills)is a fine unit.I hope this helps. Gixerman

A cambridge. It's a bargain being that its balanced. I remember buying one new for only a few hundred bucks.