DSP Studio

Does what is says, applying Digital Signal Processing to the audio.

By definition DSP is altering the bits.
As a consequence, the signal can become to loud (digital clipping, the numerical value generated exceeds 0 dBFS, the maximum possible value)
Overflow handling can prevents this by scaling down the volume (Clip Protection).

Equalizer

The equalizer is a nice example.

You want a more dynamic sound so turn up the bass and the treble.

As you boost the bass you run the risk of clipping as a lot of audio is produced at a very high level.

Sounds counter intuitive (you want more) but you can obtain the same result by lowering the mid-range.
As you don’t boost anything, you avoid clipping.

Effects

All kind of enhancements quit rightly called effects here.

Headphone

As stereo recordings are produced to be played over speakers, on a headphone the stereo becomes very pronounced. A crossfeed reduces the stereo image.