George, not heard X-01Limited yet but, both X-01 and UX-3 sounds very best via balanced connection.
Here is some quote from Marc Michelson review at Soundstage:"One note about using the X-01 Limited to its utmost capabilities: While every sonic point I've made in this review applies to the player balanced or single ended, the X-01 Limited's audio circuit is heavily weighted toward balanced use because of its four-chip-per-channel configuration, and this is how the player sounds its very best. The greater clarity and smoothness along with improved delineation of instruments are obvious. By no means does the X-01 Limited sound bad single ended, but it is unquestionably at its best through its balanced outputs."
Complete review is here: http://www.soundstage.com/revequip/esoteric_x01_limited_followup.htm
So, yes all Esoteric digital gear is designed to sound better via its balanced connection and they will sound very best when used with gear that also preferes balanced connection(Audio Research,Boulder,Krell,Pass etc.). But, you may use it also with normal RCAs... Of course, you will not get the best possible sound.
Here is some quote from Marc Michelson review at Soundstage:"One note about using the X-01 Limited to its utmost capabilities: While every sonic point I've made in this review applies to the player balanced or single ended, the X-01 Limited's audio circuit is heavily weighted toward balanced use because of its four-chip-per-channel configuration, and this is how the player sounds its very best. The greater clarity and smoothness along with improved delineation of instruments are obvious. By no means does the X-01 Limited sound bad single ended, but it is unquestionably at its best through its balanced outputs."
Complete review is here: http://www.soundstage.com/revequip/esoteric_x01_limited_followup.htm
So, yes all Esoteric digital gear is designed to sound better via its balanced connection and they will sound very best when used with gear that also preferes balanced connection(Audio Research,Boulder,Krell,Pass etc.). But, you may use it also with normal RCAs... Of course, you will not get the best possible sound.