Big Short Investor Exits Wall Street Again —Is Crypto the Only Trade Left Standing?
Michael Burry, the investor immortalized in The Big Short, has formally liquidated Scion Asset Management, his American hedge fund headquartered in California. The transfer ends a six-year run, reviving comparisons to his 2008 retreat.
The fund is greatest recognized for taking advantage of the subprime mortgage disaster and for paving the means for the GameStop brief squeeze.
Michael Burry Walks Away from the Markets — Is He Quietly Turning Toward Crypto?
In a letter to buyers dated October 27, 2025, Burry wrote that his “estimation of worth in securities is just not now, and has not been for a while, in sync with the markets.”
The transfer marks the second time Burry has voluntarily closed a fund whereas holding deep contrarian positions. Initially, it was after taking advantage of the subprime collapse. This time, it comes amid what he calls an “AI-bubble dynamic.”
For buyers charting stretched equity valuations and rising crypto optimism, his exit might sign a pivotal rotation level.
In current posts on X (Twitter), Burry accused main tech corporations of “fudging depreciation schedules” to inflate AI-related earnings, likening the mania to the late-Nineteen Nineties dot-com bubble surge.
His newest 13F submitting, submitted unusually early, reveals tens of hundreds of long-dated put options extending to 2026 and 2027. These compose aggressive bearish wagers towards shares resembling Palantir ($PLTR).
The disclosure positions Burry for a possible multi-year correction pushed by overextended liquidity and investor euphoria round synthetic intelligence.
“Burry’s tweet is pure contempt. The system is rigged. He is aware of it. The man who shorted the world is gazing a market that refuses to bleed…That’s why he mentioned it. Not to warn. He’s drained,” one person remarked in a submit.
If Burry’s thesis holds, it could echo the macro situations that preceded each the 2008 monetary disaster and Bitcoin’s early rise in its place, non-correlated asset.
From Fund Manager to Self-Custody
By deregistering Scion and shifting to a household workplace mannequin, Burry successfully removes himself from quarterly disclosures and investor pressures, a step towards full management of capital.
Analysts word that the transfer embodies the similar self-sovereign philosophy that underpins crypto adoption:
- Independence from institutional gatekeepers and
- Long-term conviction over short-term efficiency.
Why It Matters for Crypto Investors
The liquidation comes as Bitcoin consolidates in the $103,000 vary, and institutional interest in crypto ETFs accelerates. Market watchers counsel that if Burry’s forecast of an equity-market unwind materializes, capital may move towards “arduous” digital belongings, that are seen as liquidity hedges.
“Michael Burry throwing in the towel and shutting down Scion is the most compelling anecdotal sign I’ve seen but of a possible high forming in the fairness market,” one person commented.
Historically, comparable intervals of financial tightening adopted by stimulus (2008 and 2020) have preceded main Bitcoin rallies.
Burry himself has not disclosed any crypto publicity. Still, his flight from conventional markets aligns with the logic that many Bitcoin advocates cite, together with mistrust of inflated valuations, central financial institution liquidity, and unsustainable company leverage. Burry additionally hinted at a brand new focus due on November 25, barely two weeks from now.
“On to significantly better issues, November 25,” he noted.
Whether meaning different belongings, non-public ventures, or relaxation, his newest retreat suggests a broader sentiment shift that even legendary inventory pickers are questioning Wall Street’s worth indicators.
When conventional markets look indifferent from actuality, self-custody and hard-asset publicity might once more show to be the final contrarian commerce.
The submit Big Short Investor Exits Wall Street Again —Is Crypto the Only Trade Left Standing? appeared first on BeInCrypto.
