It seems the SCD-1 doesn't have a true balanced output, instead it is converted from the unbalanced one by some additional circuitry. At least this is what was discussed in AudioAsylum....
I am using the SCD-1 in an all balanced system (ARC LS25 to ARC VT100 MKII). The balanced mode (using Burmeister Silver interconnects with both XLR and RCA terminations for comparison) is clearly superior to the unbalanced mode, in my system. Presumably, the benefits of the balanced mode is dependent on whether or not your preamp and amps are fully balanced designs.
Correct, it's not a truly balanced design, like the earlier Xa7ES was. Hence the reason both sound the same (Bal. vs. unbal.) is that they are the same, derived via a chip (IC) that creates the inverted signal for the balanced connector.
There are a multitude of benefits, other than noise rejection, for components with a truly balanced signal path. Several companies design with this in mind, BAT being one of them.
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