How's the S/PDIF audio quality and CPU usage with DTS: Connect?

[s74r1]

I plan on buying the VII Hero. My last VI board had such horrible issues I had to buy a discreet card. I only use optical (S/PDIF) output, usually in PCM stereo but sometimes in 5.1 DTS: Connect mode for gaming.

1. Is DTS: Connect encoded in hardware like sound blasters or in software? How's the CPU usage on that if it's software?
2. is the straight stereo PCM stream bit perfect with audio enhancements disabled? no distortion or loss of audio quality?
3. no stuttering sound issues like the last gen?

I'd have to return my Sound Blaster Z to afford the upgrade to the VII (lot of bios and fan features I want on the VII).

Thanks

[s74r1]

bump, no one has tested S/PDIF or S/PDIF and DTS: Interactive? really need to know how it compares performance/quality/reliability compared to sound blasters or other cards with dedicated hardware encoders.