Acura1947,
If you listen to mp3, an external DAC or Blue Circle USB thingy will be an absolute overkill and a waste of money! Such things are for lossless formats, not for compressed one. On the other hand, if you have no access to lossless files (which seems strange to me), I can understand your desire to get the best out of mp3 files. I was myself in the same situation 5 years ago. Here's my advice to you: find an old Sony DVD player DVP-NS330 or newer models of the same series. I have NS330 and I can tell you that the quality of this Sony's inbuilt mp3-decoder is magical. I don't know what this Sony does to mp3, how it converts it to pcm and how it treats it further before it finally comes out of its analog outputs, but the result is just stunning! In the true blind tests, I and my friend compared the audio-cd tracks, played by cd-player NAD C521BEE against the same mp3 files (lame, 320 kbit/s) played by Sony DVD player DVP-NS330, and in 50-70% cases we couldn't tell the difference! The amplifier used was NAD C320BEE and the speakers were Acoustic Energy Aegist Evo 3. This Sony just refines mp3 sound somehow, making it sound rich, full-bodied, etc. The drawback was that this dvd-player could read mp3 from a dvd media, only from a cd.
When tried to play mp3 files through my current $700 DAC, $1000 preamp and the same NAD amp, it sounded worse than that Sony NS330.
Another curious thing about this NS330 is that it played Audio-CDs noticeably worse than mp3 made from the same CDs! I am not kidding, we also confirmed it, together with my friend, in blind tests.
If you listen to mp3, an external DAC or Blue Circle USB thingy will be an absolute overkill and a waste of money! Such things are for lossless formats, not for compressed one. On the other hand, if you have no access to lossless files (which seems strange to me), I can understand your desire to get the best out of mp3 files. I was myself in the same situation 5 years ago. Here's my advice to you: find an old Sony DVD player DVP-NS330 or newer models of the same series. I have NS330 and I can tell you that the quality of this Sony's inbuilt mp3-decoder is magical. I don't know what this Sony does to mp3, how it converts it to pcm and how it treats it further before it finally comes out of its analog outputs, but the result is just stunning! In the true blind tests, I and my friend compared the audio-cd tracks, played by cd-player NAD C521BEE against the same mp3 files (lame, 320 kbit/s) played by Sony DVD player DVP-NS330, and in 50-70% cases we couldn't tell the difference! The amplifier used was NAD C320BEE and the speakers were Acoustic Energy Aegist Evo 3. This Sony just refines mp3 sound somehow, making it sound rich, full-bodied, etc. The drawback was that this dvd-player could read mp3 from a dvd media, only from a cd.
When tried to play mp3 files through my current $700 DAC, $1000 preamp and the same NAD amp, it sounded worse than that Sony NS330.
Another curious thing about this NS330 is that it played Audio-CDs noticeably worse than mp3 made from the same CDs! I am not kidding, we also confirmed it, together with my friend, in blind tests.