Both the WS1000 and WS2000 dongles act just like a reciever for your DSM2/DSMX radio so both would require to be bound to the radio first. The differences is that the WS1000 emulates a gamepad and the WS2000 emulates a joystick. So which one you'd choose would depend on the software you are planning on using it with and which type of controller the software supports.
After that point, I'm clueless but I can make some guesses... I'd assume you would then assign the radio channels which are then converted into gamepad/joystick inputs and set them up in the software to control whatever you want. That is what I was required to do with my own wired USB dongle ( emulated a joystick in my case ) I used with my Futaba and RealFlight Sim software, so I would also assume it would be similar. Realflight comes with ( or at that time did come with ) it's own wired transmitter, so I just ended up using that since it was much simpler to deal with despite my radio feeling better, it didn't actually control it any better.