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After a lot of playing around with Crate and FW, I decided that I will go back to FW v34 and Windows default drivers + solve my missing LFE channel problem. For this I used a mix of windows default...

I have the Theta, just stay away it's not worth it, get a good stereo headphone with virtual surround.

It would be nice if not almost all profiles from Armoury Crate would have virtual surround turned on. Not to mention I can't find any default profile that is somewhat ok. Turning off virtual surround...

Its not an issue with the PC, I tested on a phone with USB-C the problem persists even there. It is not a firmware problem and surely not a problem with my PC.

Asus response to the issue is:
A...

The problem you are describing is the same for me, whenever I start a track there is a popping/crackling sound, same when a track is paused or ends. This happens also mid audio when there is silence...

Just here to confirm that firmware 0034 is way better than the newer versions. After installing 0034 it's the first time I hear clear separation between front and back channels.

It looks like...