OK, so here's what I know...
The DSC system does two things when your tires slip:
Part A is that they apply individual wheel brakes to slow down the spinning wheel, which can cause the wheel to start/stop rapidly, which feels kinda violent. Part B is that the engine torque is reduced by shutting down the spark plugs at the right time so that individual pistons don't fire. I believe Part A is more noticable and seemingly more violent.
Personally, I just switched to winter tires, and I am noticing that the DSC seems a LOT less violent with lighter wheels and tires on the car (I had 17" runflats before). Maybe it has to do with the amount of rotating mass being stoppped and started...? Either way, it was designed as an emergency system, so if it seems excessive, turn it off, you'll still have ABS, EBD, ATC etc, you'll just disable the torque management and stability controls. Give it a try in a snowy parking lot to see how different it feels.
Either way, it's not great for the car, but it shouldn't affect the engine very much. The wheel-braking phenomenon happens after the gears and the clutch, so it should be insulated against that. Shutting down cylinders isn't great, but its momentary, so the flywheel should be able to absorb the slight torsional vibration this induces.
Hope it helps..
RMout