According to iFi, that isn’t the case—they have a full XMOS chip in the device that is capable of full decoding; they were just unable to obtain authentication with MQA corporate. They’ve been in negotiations with them back and forth since launch, and they really put their foot in it by promising MQA capability out of the gate. The rendering process that DACs perform is the result of the very same XMOS that is included in the ZS, although there are software renderers and full decoders apparently on the horizon as well. It’s really a matter of the rendering being a very resource-demanding process that has kept it out of the software realm thus far.
Also, you can turn off the first unfold in the ZS GUI with the beta version.
I do agree that iFi has a tendency to release products with promises of future features that tend to cause strife with their consumers. I have told them multiple times that it would be so much more satisfying if they would just release their products proudly as-is, and surprise already happy customers with new features as they’re perfected.