I burn CD's from MP3's for my car... sounds great to me. On the few occasions I've listened to them on my home system, I thought they sounded pretty good. I can hear a difference from the original CD but, it's not huge. I can tell that some of the 'realness' is gone on the MP3 version. Whether something is lost in the highs, or the overall range of octaves, I don't know. Also, the simpler the music, the better it sounds. (India Arie, Norah, etc.)
I have used Kazaa mainly and found a few 256'ers... but, not a lot.
Does anyone have any suggestions for good MP3 sharing software? I don't like Kazaa because of all the spyware that comes with it. Sorry for the off topic question... Thanks for any suggestions, though.