It uses a disc-style spark arrestor, also known as a "supertrapp style". Yes it is a spark arrestor and is USFS approved.
DG doesn't make very good pipes, and the xcellerator probably caught your eye because it's cheap. Well it's cheap for a reason, and IMO I would hold off until I could get something better from both a build quality and performance point of view. You would come awfully close to the power gain of that pipe by removing the baffle/spark arrestor assembly from your stock canister.
