Using my iPad to stream music.... Bluetooth or airport express

Hi
I have a nice hifi system and use it for listening to cd's when I want to listen and also stream from my iPad when I want background music and to run play lists etc.
Can't do away with my cd's as I want audiofile quality for serious listening and as my iPad is near full... I can't load all my CDs etc in apple lossless format, I haven't got the space left.
So, to my question on streaming to my hifi system.
I do it through an airport express and connect to my amp with the airport express jack output via a mini jack to RCA cable.
Now, I'm looking at getting a dacmagic digital to analogue converter.
So, I can take the digital signal from my cd and improve quality... So far so good.
I then realised I could use the mini jack on airport express with a mini optical toslink cable (the output is both a mini jack and mini optical digital output),
to take the digital signal directly to the Dac.
Then I hear the dac also comes with its own bluetooth adapter so I could stream directly to the Dac From my iPad with Bluetooth.
My question is.... Which will give me the best quality from my iPad...
With Bluetooth or airport express digital optical signal.
If anyone can give me the pros and cons of each I would appreciate it.
Thanks

I finally figured it out!  I needed to extend my my network using my Verizon Wireless network but then under the Music icon on the Airport Utility, I selected Enable Airplay and selected an iTunes speaker name that is the same as the name chosen for my Airport Express name.  This way, I can connect to my wireless network which the Airport Express is extending, but select my Airport Express as the speaker.  Woohoo!

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