I still have my BLOOD One Whole Unit CD right next to me. I remember a bit of an issue with that was that it required the CD to be inserted in order to play the music, and I was never able to figure out how resolve that when I forced the game to work on modern systems. As a result I often had no music at all due to the game not reading the CD.

Does Blood on GOG have everything working, or does anyone know how to resolve the issue on the CD version?

Yes.

Yes mine works just fine :). Yeah some of those games just are bad on newer systems. Like doom collectors edition does all that crap too, hopefully they will add that some time soon also.

Very much so.

Yes, I haven't had any problems whatsoever on my Win 7 Machine

go for it :)

Indeed it has music, if it's the right tracks for the right levels I don't know though, never had it on CD.

You can rip your CD to an iso image, or even better rip it to an iso and encode the tracks as .ogg and create a .cue file to point the tracks to the .iso and .ogg files and you can get your CD version to work like that too. It's just easier with Gog.

It's some kind of "virtual" Redbook audio. I haven't played Blood before buying it here, so I don't know if the tracks are in the right order, but they're definitely CD quality.