In Response to Sean's comment:
Regarding additional two steps - are you saying that with coax signal starts as digital and stays digital? My impression is that it starts as digital and is then converted to some form of electrical (??) and the reverse occurs at the other end. Thus- in theory timing errors can creep into coax transmission thereby leading to jitter. And supposedly this jitter can be even MORE EXTREME than in case of toslink since the potential of RFI/EMF susceptibility of coax can be very damaging to the signal! This possibly again negates the "so called" superiority of coax over toslink. As for bandwidth, I doubt if that is even a restrictive factor. There is enough bandwidth for current signal specs.
Regarding additional two steps - are you saying that with coax signal starts as digital and stays digital? My impression is that it starts as digital and is then converted to some form of electrical (??) and the reverse occurs at the other end. Thus- in theory timing errors can creep into coax transmission thereby leading to jitter. And supposedly this jitter can be even MORE EXTREME than in case of toslink since the potential of RFI/EMF susceptibility of coax can be very damaging to the signal! This possibly again negates the "so called" superiority of coax over toslink. As for bandwidth, I doubt if that is even a restrictive factor. There is enough bandwidth for current signal specs.