I found the below ruling for Encroaching Mycosynth:
Encroaching Mycosynth's ability causes Auras to become artifacts. This makes it more likely that another effect (such as that of March of the Machines) will make those artifact Auras into creatures. An Aura that's also a creature can't enchant anything. It's unattached the next time state-based actions are checked, and then immediately put into its owner's graveyard as a second state-based action
Why is it put into its owner's graveyard? If it were because it's a creature with zero toughness I would understand that, but March of the Machines would give it power/toughness equal to its Mana Value.