I to have spent most of my life with vinyl. But added digital when it became available, although fidelity was alway second rate. But over the last few years all that has changed. Digital can now sound as good or the same depending what you want. The premium can be around 10%. The best thing is now you can have access to nearly infinite music. The is a paradigm changer. Now you can explore and open your horizons from playing only what you own. I now only play about 10% of physically owned music.
Digital is just like analog. Every component matters… but particularly at the front end if you have a good system. Streamer, DAC, Preamp, and amp. Over the last 50 years I have slowly converted over to all tubes.. including my DAC which really improved the character of my system. If you have been a tube fan… I would not change to solid state now. You can see my systems under my ID. I was shocked to find my favorite tube company ARC makes a world class DAC… and has been for a long time. I compared this DAC with the Berkeley Reference Alpha 3 ($22K) and preferred mine… the difference was absolutely minuscule. I gave the node to the ARC because it was a touch warmer and more natural… minuscule though.
Beginning experimentation with a home theater system is good to get the ides of the technology down. But surround processors make poor sounding audio systems. Streaming from an iPhone or iPad works… but once you have a good DAC, they are really poor sounding. You can use it while looking around for a good streamer.
You no longer have an analog system? If you still have your analog system just get a streamer and DAC.
If I was doing this, I would look at Aurender for a streamer (many people recommend Lumin), it is all they do and have streamers from inexpensive to one of the best available at any cost. For DAC look at ARC Reference 9 or Schiit Yggdrasil as a budget option. For an outstanding tubed integrated amp ARC Vsi75. I don’t have a recommendation for an inexpensive one.
On last thing. I would resist CDs. Put the money into streaming. Remember well chosen digital can sound just as good as analog and the same as CD, or file playing… well chosen… maybe the same cost as an analog rig.
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