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RE: Actually minimizes ground loops....

Well, the term "floating" might be a bit misleading. A device like that without a "direct" earth connection may find that connection elsewhere in the system via the interconnect scheme.

So, technically, it's not floating, but/and might indeed minimize loop potential.
However, the opposite might be true as well. If you earthed the chassis with a direct connection, it might stop a possible hum situation.

Dave.

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