One of the issues with optical is that it doesn't have enough bandwidth for the lossless audio formats such as Dolby TrueHD or DTS-HD Master Audio soundtracks found on most Blu-rays. An optical connection also can't support more than two channels of uncompressed PCM audio.
I run mine through ARC on a Denon and no issues.
All men dream: but not equally. Those who dream by night in the dusty recesses of their minds wake in the day to find that it was vanity: but the dreamers of the day are dangerous men, for they may act their dreams with open eyes, to make it possible.
T. E. Lawrence.