Need to replace my Denon 2910, have $400?

Correct.

Here we go: http://www.computeraudiophile.com/content/Computer-Audiophile-CD-Ripping-Strategy-and-Methodology

As for the volume: yes, keep the Touch's volume at 100% for critical listening and use the integrated's volume control. The Touch volume control is in the digital domain, so as you lower the volume it will be dropping bits. Down to around 85% you are probably safe, though.

I hope you enjoy it as much as I am. Just a neat device, with a number of upgrade paths from there.

cheers!

Good choice on the touch. I recently ripped 1300+ discs with DB Poweramp. The process was fairly painless and took just under 3 weeks. The Touch is running via LAN to a 2.0 TB Linux Server. All files ripped in FLAC and the PCM conversion is being handled by the Squeezebox Server running on the Linux machine.
Via the analog outs ( no mods past the PCM conversion at the server ) the Touch is more than listenable. It will not keep up with my Ayre C5Xe, but it is pretty darn good. That said, I am looking for a DAC that will allow me to move on past the Ayre. Not going the USB route as that mod for the touch scares me and I do not want to invest the $$$ to have it done by a shop.
So far the DAC that has a real leg up on the Touch is an ancient EAD T 7000 Mark III. Keep in mid that it was $2500 back in 1996.
The interface of the touch is more than worth the time spent ripping discs. Enjoy it.

Hey Meadowman,

I'm in the same boat: looking into DACs for the Touch. Seriously considering a Bryston BDA-1. What other DACs have you considered and what do you mean the EAD has a leg up? Heard it vs. others? I haven't ruled out the USB out mod, but it does scare me too!