I don't use cool edit, but any mixing software will work. I use Vegas 5.0, and since the tracks come off the MR-8HD as .wav files, any good software will work. I can't tell you any of the limitations on cool edit, though. Someone who does use it can fill you in. I have the MR-8, and I've heard some good things about the MR-8HD, but I am not familiar with it's onboard mixing and effects. I won't assume that they are better than the MR-8, because they only added $100 to the price tag and threw in 2 more inputs and more simultaneous track recording. Common sense tells me they didn't do much to the effects, so I wouldn't mix onboard the unit. But going back to what I said, you should be able to mix in cool edit, if you download the tracks as .wav files...