Rather than using a conventional integrated DAC chip, the DX340 relies on iBasso's in-house 1-bit discrete PWM-DAC system for digital-to-analogue conversion. The design comprises 16 cascaded PWM-DAC units with eight elements each, providing a total of 128 discrete DAC elements.

Within the fully balanced architecture, four DAC units operate on each of the L+, L−, R+, and R− signal paths. The large number of elements and their precise control make it possible to achieve a THD+N value of −119 dB under the specified measurement conditions. This provides particularly low distortion, wide dynamic range, and precise channel separation at the player's analogue outputs.

At the heart of the discrete DAC system is iBasso's FPGA-Master 3.0 controller. The FPGA requests audio data directly from the system processor, generates the PWM signal required for decoding, and then sends it to the 128 discrete DAC elements. It therefore plays a key role in signal reproduction and in preserving signal integrity.

The controller synchronises and generates the audio clocks using two Accusilicon femtosecond oscillators. The entire audio system therefore relies on a unified, synchronised clock source.

The FPGA-Master 3.0 contains seven and a half times as many LUT units as the FPGA-Master 2.0. This increased processing capacity enables the use of iBasso's harmonic adjustment algorithm, allowing even- and odd-order harmonic components to be adjusted separately.

In the DX340's patented dual-battery system, the digital circuitry is powered by a 4000 mAh lithium-polymer battery, while a separate 2100 mAh lithium-polymer battery supplies the amplifier card. Physically separating the power supplies of the two sections provides stable power for the amplifier while reducing the effect of electromagnetic interference from the digital section.

The charge level and charging status of the dual-battery system can be monitored through a single indicator. When a USB charger with sufficient output is connected, the DX340 bypasses the internal batteries and operates directly from the external power source. Average playback time is approximately 11 hours, although this is affected by the resolution of the material being played, the volume level, and the load presented by the connected earphones or headphones.

The DX340's replaceable amplifier card design allows the player's analogue stage to be adapted to different requirements. The device is supplied with the AMP15 card and is also compatible with the AMP12, AMP13, and AMP14 models, as well as upcoming AMP1x-series cards from the manufacturer. The AMP15 can only be used with the DX340.

The AMP15 uses eight buffer circuits to provide high output capability. When operating on batteries, the amplifier receives a ±8-volt power supply. Connecting the included external 12-volt power supply increases this to ±12 volts and makes Super gain mode available.

The 4.4 mm balanced headphone output delivers 1200 + 1200 mW from the batteries and up to 2150 + 2150 mW from the external power supply into a 32-ohm load. At the 3.5 mm output, the corresponding values are 312 + 312 mW and 550 + 550 mW. The different gain modes, two headphone outputs, and external power option support the use of both sensitive in-ear monitors and headphones requiring higher output power.

The DX340 is powered by a Qualcomm Snapdragon 665 system-on-chip, supported by 8 GB of RAM and 256 GB of UFS 2.1 internal storage. The internal storage can be expanded by up to 2 TB using a microSD card, allowing high-resolution music collections to be stored directly on the device.

The open Android 13 operating system does not apply system-level sample-rate conversion and allows compatible applications to be installed. The device also provides a separate Mango Linux operating system for music playback.

The user interface is presented on a 6-inch, 1080 × 2160-pixel AMOLED touchscreen. The In-Cell capacitive touch panel enables direct operation, while AMOLED technology provides high contrast, vivid colours, and efficient energy use.

The chassis is CNC-machined from 316 stainless steel and features polished and brushed surfaces. The user-removable rear cover provides a more accessible construction. Despite its robust design, the DX340 weighs 486 grams and measures 150 × 77.5 × 19 mm.

Equipped with a professional USB receiver, the DX340 can also be used as an external USB DAC. In this mode, it can process PCM signals at up to 32-bit/768 kHz and native DSD512. Its low latency also makes it suitable for use as a connected USB DAC when watching films or playing games.

Both the 4.4 mm balanced and 3.5 mm single-ended analogue connections can be used as headphone or line outputs. The 3.5 mm coaxial digital output allows an external DAC to be connected, while compatible digital audio devices can be linked to the player through the USB OTG output. Thanks to its dedicated line-output modes, the DX340 can also be connected to active loudspeakers, an integrated amplifier, or a standalone headphone amplifier.