One possible source of confusion is that camera raw images do not have a color space at all. Your camera still generates an embedded JPEG preview, and will do it in the color space you specified in your camera menus.
When you convert to DNG format, the embedded JPEG preview is always in sRGB color space. However, the metadata tag may still persist with the camera's color space setting for JPEGs.
This won't cause you trouble if you're actually opening the DNG via a program that can decode the DNG file (rather than using the embedded JPEG preview). In fact, you can tell it to open the DNG file into any color space you wish. If you are using the built-in JPEG preview of the DNG file, forcing the application to read it as if it were in a color space other than sRGB will lead to problems.
Here's a
thread on the matter from Peter Krogh's site, in case it helps.
-Kevin