I'd opt for the Smyth Realiser over this.
For those who are not familiar with this device, as I was not, a video and info can be found here:
http://www.smyth-research.com/
The biggest problem I have with this device is that I am not a fan of using headphones for music listening. As great as they make the music sound, with perfect stereo separation, and possibly perfect surround imaging, I have yet to find a pair of 'phones that are comfortable to wear for long periods of time. I always end up feeling like my head is clamped in a vise, even with ones that start out quite comfortable.
There is currently a Kickstarter campaign for the new Realiser model. For US $1,022.36 you can preorder the new unit, which does not include headphones.
https://www.kickstarter.com/projects/1959366850/realiser-a16-real-3d-audio-headphone-processor
As for headphones, the A16 demonstration in Munich used the Sennheiser HD800 headphone whereas the Stax 2170 had previously been recommended for the previous A8 model. Here is their word on recommended headphones:
"We judge headphones in a number of ways. How comfortable are they to wear for an extended period of time, can they faithfully reproduce virtualised loudspeakers and how cost effective they are. For example the entire range of Stax headphones are comfortable and can reproduce virtual loudspeakers with stunning accuracy. Hence we continue to use the Stax 2170 for our own internal use due to its cost effectiveness. Sennheiser HD800s on the other hand have the same performance, are almost as comfortable, but are physically more robust, don’t require an external amplifier and they go louder. Hence we have moved over to using these headphones for demonstrations. These are two headphones we use every day and can vouch for their performance and comfort."
It appears the Sennheiser HD800 headphones can be had for around a grand, bringing the system price tag to around $2025.
FYI.