Hmmm, I've just tried disabling the SB3 digital volume and the difference is slight in my system. The convenience factor means I will probably change it back.
My system must not be as revealing as yours
Jerry
Hifi: IPL transmission line floorstanding speakers, Squeezebox Touch, Denafrips Ares 11 DAC, DCB1 Pre-amplifier, Croft Series 7 power amp.
Custom Hifi cables HA10SE headphone amplifier and Hifiman HE-400 headphones.
AV system: LG 55B7, Denon AVR -x2300w receiver, Quad 12L (front) 11c Centre and 11L rear . Velodyne DD15 subwoofer.