RCA your Wiim's DAC is in use"I would also recommend trying each digital output into the external DAC to decide which suits (as well as RCA line-output, bypassing an external DAC because the DAC in the Ultra is reputed to be excellent in"
I so using USB will bypass the DAC inside the wiim and use the external dac instead?
USB will give full control to the external DAC this is in relation to data requests and receipt it manages it all. So to my ears its the smoothest sound.
COAX/Toslink means the Wiim is in control of sending the data to the external DAC to receive and process. So you will hear your external DAC.
You can easily try them all and see what you prefer, just by switching outputs on the Wiim and your DAC/AMP (as you will go direct to Amp via RCA)