Don't know what sort of DAC explanation you're looking for. If the sending unit has converted digital program content to analog with its DAC, a coaxial cable can carry the analog signals to a receiver or other unit. If the digital material hasn't been converted to analog, it can be carried by HDMI, optical cable, or coaxial cable to be converted by a DAC in the receiving unit. Neither process is necessarily better.

Enjoy the music, not the equipment.