The high resolution PCM at 96-192KHz 24bit offer the possibility to have a good quality digital signal near to the analog exceeding the big limits of the CD payer.
The DSD is very different from PCM, using a sampling frequency 64 times higher than that of a standard Compact Disc, offers a frequency response of up to 100 kHz and a dynamic range of up to 120 dB across the entire audible range.
The DSD tracks on paper should be better than 192KHz 24bit because the two conversions (from and to the analog) are more simple but the test by Erik-Thienhaus Institute in Detmold, Germany, seems to contradict this.
The DSD signal can be directly used to reconstruct the original analog signal with a simple RC filter but with this method we get many digital noise also using a good digital and analog filters so forget this method.
I have lost many time and money to test these solution, using different USB to DSD interfaces, I2S isolators and D-type flip-flop to create differential outputs.
Here the definitive solution much better than any normal DSD DAC: