Rare be me to comment on a Tim thread, but...
There is nothing special about .dng. It is just another of many competing RAW formats with strengths and weaknesses.
One archival workflow hangup with .dng is Canon's DPP software is sometimes the sole RAW converter that interprets WB correctly on conversion under difficult mixed light shoots. Also, for some shoots, a single Picture Style results in speedy life-like conversions where other converters need too much effort. While my converter-of-the-month is PSCS3 ACR 4.1 because of its stellar capture sharpening and other enhancements, there are times when ONLY DPP gets the image right faithfully.
If one archives as .dng, embedding the .CR2, the file size is larger than either alone, and the "extraction" of the .CR2 for future processing as Canon makes continuous converter improvements is time consuming, slow, and folder-based.
I think Canon does not get enough credit among for the backward compatibility DPP and Picture Styles provides users with D30, D60, 10D RAW files, etc.
So, then the only reason to archive as .dng is to be able to "view" a file thumbnail with RAW adjustments (because the .dng JPEG is updated) and because one can embed metadata in the .dng without modifying the .CR2.
Well, products like Lightroom and Aperture make the first reason fall, and Canon now allowing software vendors to "write" to the .CR2 (previously Nikon .NEF allowed this but Canon did not without using their SDK) makes the second benefit fall.
I tried .dng for few months and gave it up. Just nothing special with that engine under the hood...
Just my opinion, FWIW... Jack