Records and WAV
Give me the best feeling from my music.
Storage is cheap enough these days not to need compression on a home system. I'll record to WAV if not originally supplied with the record (or download) of a release, then make a 320 for the mobile devices. Only WAV issue being attaching metadata, you just need to make a good naming system & file structure.
CDs are played in a CD player and ripped to 320 for the digital Traktor..
Perception is everything and you can go as far as your enthusiasm takes you, as important is a system that can move air rather than just tickle it. I also prefer a specific listening position and have the mid tweeter at ear level, I like the headphone like separation you get that way, just with added smile from the big speaker boxes.