Research Summary
The report introduces the new ‘Insider transactions’ data set from Token Terminal. This data set provides information on the top 1,000 token transfers or DEX trades for a protocol’s governance token, focusing on transactions where the sender or receiver is among the top 100 token holders. The data set aims to provide investors with additional insights for their due diligence by tracking the actions of insiders who are likely to have more information about a protocol’s future.
Key Takeaways
Insider Transactions Data Set
- Reason for Creation: The data set was created to provide investors with additional information to support their overall due diligence. It tracks the actions of insiders who are likely to have more information about a protocol’s future.
- Content of the Data Set: The data set includes information on the top 1,000 token transfers or DEX trades for a protocol’s governance token, focusing on transactions where the sender or receiver is among the top 100 token holders.
- Limitations: The data set is constructed solely from on-chain transactions, meaning it does not show what insiders might buy and/or sell off-chain.
Reading the Insider Transactions Data Table
- Columns: The data table includes columns for the project name, token symbol, timestamp, quantity of tokens bought or sold, USD value, USD flow, action type, transaction type, DEX, from address, to address, and transaction hash.
- Interpretation: While the data table might seem overwhelming at first, breaking it down column by column makes the interpretation of the data easier.
Future Developments
- Additional Features: Token Terminal is working on adding features such as entity labels for token launch participants and insiders, behavioral labels for insiders based on their prior on-chain activity, flags for when tokens are transferred to a CEX, and custom alerts.
Actionable Insights
- Insider Activity Analysis: Investors can use the data set to analyze insider buying or selling patterns, potentially identifying profitable trends before the rest of the market.
- Data Interpretation: By understanding how to read the data table, investors can gain insights into the actions of insiders, including the size and direction of their trades.
- Future Developments: Investors should keep an eye on the upcoming features of the data set, as these could provide additional valuable insights.
