The software may convert the RAW file to a DNG
in case of Adobe it is not "may" but it "is" - it is the core of Adobe's approach - to get rid of the raw data as soon/early as possible in the pipeline...
I don't know this is the first time I've ever heard that, but that's not the end of the process.
true - but it is the core of the process and it is so by their intended design... hence when you are living in Adobe's realm you are more (but not absolutely, code errors or changes in developers mind happen) safe w/ things like non native DNG and linear DNG
But before you get to see the image on screen the image is gamma-corrected and the render curve from the default or chosen profile is applied.
in Adobe's realm yes, that is unless you take some special measures to not do this which may involve using specially prepared profiles... outside of Adobe realm there enough tools that do not apply any such corrections unless you want to directly in UI.