BS Node N130 USB to External DAC won't work

You did say you have a "new" Black Ice DAC. That could be a possible issue if it is new enough that BS hasn't configured their software to work with this particular model, even if it works with other Black Ice models. 

That has been an issue over the years for computer related setups -- a manufacturer will release a new model and it takes the outside software makers time to catch up.  Streamers and DACs are no exception -- still a lot of computer parts and software underneath the hood.

Do you have another DAC, or one you can borrow, to see if the Node will work with it?

In looking at the owners manual for the N130, it has only one USB port. The default setting is as an input for a USB thumb driver or external USB hard drive.  The manual says that to use it as a USB output to a DAC, the Node needs updated software, and then one needs to go into the menu settings and bypass the internal DAC and choose the correct external DAC.

As you can see, it is not an automatic process that takes place when you insert the USB cable.

All of that said, I don't own a Node and have no idea if they have ever released the updated software, nor if your Node has it installed.  And, even if you have the updated software, there may be an issue if your particular DAC is not on their menu.

Hopefully someone with this Node who has gone through this particular process will come along with more details for you.