The keyboard Octave Up/Down functions (SHIFT + PLAY buttons for Octave Down, and SHIFT + TAP buttons for Octave Up) can be set to take effect immediately, transposing any notes that are currently being held on the keyboard, or their effect can be delayed, meaning that any currently held notes will not be transposed, but new notes played after using the Octave Up/Down function will sound at the new octave. Use the lowest two white keys to select OFF (C0), or ON (D0). The Default is ON.
I cannot change this setting. Regardless of what I set, the Matriarch will react immediately to me changing the octave, transposing the currently held note. Does everyone have this problem, or just me?
Just tested it and have the same issue. Looks like a bug. I am running firmware 1.2.3.
John
I had my Matriarch replaced for another reason (broken key), my new one has the same issue. I also noticed that pitch variance and delay sequence change also have no effect 
Same issue over here, running 1.2.3. Hope it gets fixed soon because it’s fun effect to hold a high chord in 4-voice paraphonic unison and gliss down to a low note.
This is still an issue for me, I have 1.2.3 - has anyone resolved this issue? I really want delayed octave shift i use it in my playing style a lot and i’d love to find a fix.
Daniel Fisher mentioned it in his deep dive, and said that Moog know about it and are working on a fix
Just got my matriarch back after 2 months of it being repaired, upgraded it to 1.3.0 (fresh board I think) and noticed this bug is now fixed. Unfortunately, my matriarch came back with a broken key, so now it has to go back again 