I run a Sony BDP S6500 for BluRay Audio and SACD in native DSD to my Sony STR DN1050 which does the DSD decoding onboard, and any other DAC tasks. I also have an Oppo DVD player that I use (through HDMI) to play DVDA and redbook CD. I know the HDMI thing is frowned upon, but for multiple sources providing hi-res surround you have no real choice. Even if my receiver had multichannel analog inputs (which it doesn't), it would only have one set so the number of sources would be limited. I use the above 2 (the Sony BDP only has HDMI out) and a laptop with HDMI out and Foobar2000 to play my ripped digital stuff, which includes high res 24/96 stereo and surround material (very tweakable and WASAPI driver to eliminate jitter). The receiver is only about a year and change old and to my ear (musician, audio techie and pro piano tuner) it sounds amazing with direct digital sources. Plus, I don't need thousands in interconnects, just a few HDMI cables and speaker line. I do use Audioquest cables where needed, both for USB on my server HD, and for my turntable and pre-amp. My understanding is that the receiver goes from dsd to analog with no conversion. The $100 Sony BDP sounds better with dsd than the Oppo which does convert first, even through HDMI.
One note about DSD multichannel. If you have never heard it, I find it to be excellent. Not only are you getting high resolution audio that sounds as close to analog as digital can, without any process imposed artifacts such as tape hiss or cracks and pops. You're taking that super clean signal, and the various tracks of sound mixed into it, and you are now distributing tracks to 5.1 speakers instead of 2 so the workload of each speaker is greatly reduced resulting in more clarity, volume and dimentionality. Frankly, DVDA and BluRay Audio also sound phenomenal in surround. For example, I have Gentle Giant Octopus on BluRay and there are songs with overlaying vocal tracks that are indecipherable in stereo but can be picked apart as individual tracks in surround. Or Mahavishnu Birds of Fire (SACD) where you hear so much more from every instrument. Riffs ramping up and trailing off as the blend in a way you never heard in the stereo version. Really something to check out if you can, or try at home if you have the space and means. Of course, the closer match all 5 speakers are, the better, but new receivers generally have room correction that helps tie the speakers together a bit more seemlessly. And with surround, you cannot forget the .1, a decent sub makes a big difference.