When sending signal over Bluetooth, the signal is sent in digital format, in a codec that’s supported by both source device (iPhone) and receiver. I believe newer tech accepts AptX, but you’d have to check actual specs of your devices. Based on that negotiation, the source applies a conversion (still digital) to compress the digital signal to make it fit to the negotiated codec and bitrate. Once the (possibly resampled) signal is at the receiver, the receiver uses its own DAC to convert the digital signal into analog and play it. Hope this helps.