Jriggy- Tough question. Hard to compare because they are in very different systems with different goals and I don;t own the 160i. I would say the 160i is capable of playing more different kinds of music, especially big band, orchestra and rock, without letting down anywhere on the quality. The Melody is more for quieter music with more emphasis on a bit of sweetness in the presentation. The 160i also has a much better bottom end the unbeatable VAC midrange.
I got the Mekody because I had never heard single-ended and was curious. It sounds great in my office, but I have the BIG Vac's at home and wouldn't ever switch... :-) Hope this helps.