Using a DSP and DAC

Hello
My speakers ( Legacy Audio Whispers) use a Xilica XP DSP as the crossover, its the last thing in line before the amps.
I use a PS Audio Stellar Gain Cell DAC as the preamp, I have been wanting to upgrade to a better DAC.

So, heres my question, because the Xilica converts the analog to digital for processing and then back to analog,
is all "stuff" the DAC does for sound basically changed by the DSP, making a better DAC a waste of money?

or does the Xilica do its thing without changing the analog signal it gets from the DAC?

Thanks for your thoughts