DAT Pump-and-Dump Allegations: Founder, Executives, and VC Accused of Coordinated Short-Sell Behind ATH Drop, BlockBeats Reports

COINOTAG News, on October 23, citing Crypto Fearless, reported circulating insider information about a pronounced pullback from its ATH levels. The briefings describe two distinct narratives circulating among market observers, investors, and partners regarding the recent move.

Version One asserts the founder engineered a price pump followed by a dump, triggering short exposure. Alleged communications with investors, partners, and industry players reportedly seeded expectations of a near-term rally, enabling selling pressure at the top.

Version Two claims an internal ATH executive, unhappy with the founder’s fund allocation, secretly allied with VC investors to short the market, acting as the counterparty to the pump. The group allegedly coordinated with spot sales and leveraged blogger coverage to amplify chatter and hasten the decline.

These accounts underscore governance risks and the need for transparent disclosures amid financings such as the $350 million DAT round and ongoing industry scrutiny.