Just wanted to know if VLC is capable of doing this. Seeing how I don't have speakers hooked up to my PC (only headphones), nor do I have a working sound card/on-board sound with surround outputs, binaural/holophonic is the only way for me to experience surround sound.
INFO: Binaural and holophonic are essentially how our normal hearing (with only 2 ears) works, which means you can create the effect with stereo headphones as well. Example: http://youtu.be/x5G3HUiscW4