I understand that Q5K is mentioned here as one more portable DAC having an on-board DSP but if you refer to earlier
@amirm's
review of Qudelix 5K you will find that this device shows much lower audio performance for 3.5mm jack which is not even close to DAC V1's. Not mentioning absence of support of 176.4-384kHz PCM, absence of DSD, and support of up to 24-bit PCM only (no 32-bit Int PCM). Therefore, it is like comparing oranges and apples. DSP functionality of DAC V1 went far either.
The price point (as general comment for a number of preceding posts mentioning price). DAC V1 is a very functional device and it comes at cost, of course. Every additional functionality contributes to the cost of the device because it involves additional components and increasing complexity of production - OLED display, auto-orientation of indication and virtual media buttons by double-tap detection with accelerometer, support for inline-mic and in-line media buttons (requires mic preamp circuit for ADC), dual clocking mode with ultra-low phase noise and very stable 2 SPXOs (which were designed and developed specially for DAC V1 by IC producer), low-profile gold-plated 3.5mm jack, powerful DSP (involving fully-fledged MCU and not just USB controller optimized for interfacing with DAC chip), small size of enclosure (involves 2 PCBs and thus increased cost of production and assembly), rounded enclosure at all angles (you probably noticed that there are no sharp edges), scratch-resistant display (involves Gorilla Glass 3 material), development and support of NConfigurator companion app.
It is not mass product and involves a lot of manual labor, I would say it is an artisan product. For example, rounded enclosure of such small size is a challenge for the producer, to achieve absence of edges and rounded corners it has to be polished manually. The same goes for Gorilla Glass 3 panel, especially with the requirement to have polished edges of a such small item. An etc. This complexity can't be free, we all live in a real world and know it.
One may argue - why do we need all this complexity, just provide USB DAC with excellent audio output? My counter question then - there are many excellent fairly cheap USB DACs already, why do we need one more similarly priced USB DAC with similar excellent audio output but the same "dumb" (as wisely noted by Amir)? It`s just pointless. And that's the idea of DAC V1 - be a very functional, smart, portable device with ultra-precise single-ended audio output without compromise in quality of components and materials.