No. Normally, the audio is played "through" the DSP on its way to the CD-R, just as if it were a signal processor patched between two recorders. In Version 2.0 software, you are able to render your DSP and make it part of the actual audio file, if you so choose. The only editing features that are destructive to the basic audio file are Cropping and Splitting (and the latter can be "undone" by Joining).