I have a DAC-2 and the used price on these is getting pretty close to the used price of a DAC-1. I'm not looking to let my DAC-2 go, but I have to say running the DAC direct into my amp and using the digital volume control is amazing. The DAC has a robust and fleshed-out sound which I was concerned about initially. I thought it might sound edgy or too digital going straight to my solid state amp. This is coming from a guy who has 2 very decent tube preamps sitting idle. Note I'm using Harrison Labs attenuators at the amp so that I am operating the DAC in the upper range of it's volume control, so if there's loss of resolution I honestly can't tell. Unless you have a truly transparent preamp that can beat a set of simple resistors (which I'm not sure there is any such a thing), I can't imagine much higher performance using the W4S DAC as your digital source. If you're also running analog gear, then I can see where maybe the DAC-1 might be a better choice for you.........but, it will leave you curious as to how good the DAC-2 can sound as configured above. I'm not wealthy by any stretch, but I'm very happy I spent a little more for a 2 versus the 1. The added flexibility is worthwhile. Just my 2 cents. Sorry if I only complicated your decision.