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But why is this little hack advantageous over dual-stack? Advanced switches already don't forward ARPs they can handle locally.

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Because dual-stack means having to deal with stand up IPv4, which entails more configuration, more address planning, more infra, etc. See perhaps "§5.1 IPv6-only Compared to Dual-Stack":

* https://datatracker.ietf.org/doc/html/draft-ietf-v6ops-6mops

Fewer IPv4 deployed subnets means those addresses can be used where they're 'really' needed instead of being 'wasted'.

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