That part of the video was so grainy on my monitor I didn't even make out it was a boar or that it was moving. I blew it up on my TV and watched.
Look at the tag movement relative to the movement of the scope and the items around the boar. Watch as the tag drops to the bottom of the boars belly then jumps back up.
IF the system works as I imagine, then this video does not contradict the scope having a true tracking function. The boar is more or less all the same color, especially in the shade. The scope simply can't tell the difference between the patch of brown fur over its heart and the brown fur leading back to its belly.
Does it work perfectly? No. It is first generation after all.
The scope may not even have the function, but I am not seeing anything in the video contradicting it, only that it doesn't work as well as it would in a video shown on ScyFy. I'll start saving up for Gen III while I keep my eye out for the scope being used on a paper target traversing a cable across the screen. Would be especially interesting to see a video with the tag leaving the field of view.