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danstuff, as long as you get the 1/8 it should be fine. I don't see any issue with racing on a track as long as you do correct maintenance. You probably need a different chain on the side though, if you wish to have a nice gearing on track. If you wish to ride on track with your bike, I would personally advise a 50t on front and play with the rear for the street. Then swap the cog with something a lot smaller when you ride on a velodrome. That will result in a chain that is a lot longer. If you have short track drops the chain might be too long for the velodrome. Also dirt is not something they like on the velodrome, especially if it's a wooden. A clean chain for track racing is advised. You can run a pink no-brand 1/8 chain for all I care. People will look at you funny but still. If you wish to participate in championships it's a different story. Expensive chain with less resistance and whatever.
Arawn-
If you wish to ride on track with your bike, I would personally advise a 50t on front and play with the rear for the street.
This is for my track bike, so street use isn't an issue. I've ridden 50x16 on track for the last 2 years, but keep on wondering if I should go for 50x15 now I'm sticking with the faster pacelines. However, given that I'm still keeping up with everyone except the proper sprint specialists, albeit spinning pretty fast, I think I'll stick with 50x16 for now.
Brommers
Yep, I haven't raced on track yet. Just lots of training. Well, I call it training, anyway.
Why would a 1Z1 chain be unsuitable for racing though? Or should that have been a reference to my ratios of choice?