Unfortunately, that kind of thing is usually very low priority, so I wouldn't hold my breath to see a codec update. I remember seeing some screenshots that showed captures of outside streaming vs. SL ogg streaming, and there was visible quality-munching happening in the latter, why it's there is anyone's guess!
I think what happens is, various audiostreams on input are probably force-converted to OGG at a certain bitrate, in a lazy way that "gets it done", even if it's not getting it done right as far as pristine quality preservation. If we found out what this certain OGG bitrate is and use that for your program material, it might be possible to avoid the double conversion and quality loss. Just a theory, though.
The upside is that as a DJ or performer it's no use worrying about things like this anyway, as we live in the day and age of quality-munched audio. It's expected by listeners, their ears are used to it thanks to ipods etc., and if it wasn't there (if you provided pristine quality audio) they might even feel something was "off" with your stream!
