Soundflower on Big Sur finally dead?

no, i actually found that BH is of equal sound quality. i've been using it for ~8 months and i haven't encountered any issues with it at all. and it should last for quite a while because it's not a kext. apple has said they are dropping support for all of them sooner than later.

you are correct in guessing that BH works the way you used soundflower. but unlike soundflower, BH is NOT a kernel extension. it is even compatible with the M1 macs. i used to use soundflower too. but many people were having issues installing it on big sur. and since i was not comfortable recommending BH without myself using it, i made the transition earlier this year. :)