DAT products are caught in the whirlpool of front-running trading: the dangerous shift from BTC to alts.

[Chain Text] The founder of the blockchain consulting company Forgd recently issued a warning: the old tricks of information asymmetry and front-running trades in the token market are now starting to be played on institutional products like DAT.

What is the problem? In the early days, DAT was relatively honest, mainly configuring large market cap coins like Bitcoin—sufficient liquidity and transparent price discovery. However, as competition has intensified, many products have begun to target small market cap and illiquid altcoins, hoping for high returns. This shift has directly exposed them to manipulation risks.

More outrageous operations occur during the fundraising phase. When the DAT team approaches potential investors, internal information naturally leaks out—such as which coins to buy, how much to buy, and the timing. This information is like a printing press for certain people: they ambush in the secondary market in advance, and after the DAT funds enter the market to pump up the price, they cash out immediately.

In plain terms, the worse the liquidity of the asset, the more effective this strategy is. Retail investors still think it is the market trend, but in reality, they have already been harvested in advance.