Here is how the architecture works in a networked system. You can have FLAC/ALAC etc decoded at your renderer..the component that received the files and feeds your DAC, or you can have them decoded at the SERVER side. One way or the other, the files must be decoded. MiniMserver simply decodes FLAC to WAV if you tell it to before it sends the file through the network, no trick here. And that is what I do btw.
I have a 12TB library. Converting everything to WAV or AIFF would be insane.
Thank you for helping make sense of this!!!!!