Michael Burry, who bet against the housing bubble to make his fortune, now has his sights set on a new target: cryptocurrency.
“Ok, I’ve never done this before. How do you shorten a cryptocurrency?” He said it in a now-defunct tweet this week. Do you need to borrow money? Is there a rebate for borrowers? Is it possible to squeeze the position and call in?
Burry’s massive bet against subprime mortgages is immortalized in the movie and the book “The Big Short.” He stressed that he was not considering taking a position against crypto.
He tweeted, “In such volatile circumstances, I tend to think that it’s best not to shorten, but I’m thinking aloud here.”
Scion Asset Management boss who regularly deletes tweets has recently closed his Twitter account to new members. To drum up interest, he cited the army meme-stock and cryptocurrency zealots as well as bots commenting on his tweets.
Burry tweeted: “Crypto/Meme Bots and Pumpers Reply to Big Accounts in Huge Numbers for the Promotion.” “Deleting tweets will make it go back. You can discourage them by going private.
He continued, “But it’s amazing, this religion of fake and real people.” “The speculation is probably the greatest in history.”
Burry has repeatedly criticised crypto this year. Burry has repeatedly criticized crypto this year. He dismissed the Shiba Inu coin as ” pointless,” mocked dogecoins’ surging price and warned that bitcoin is a ” speculation bubble” that is fuelled by large amounts of leverage and vulnerable government crackdowns.
The fund manager also compared the excitement surrounding bitcoin, meme stocks and other popular assets with the mid-2000s housing boom, and the dot-com bubble. He said they have been driven by speculative enthusiasm to ridiculous heights, from which the fall would be dramatic and painful.
Burry, aside from his housing bets, is well-known for investing in GameStop, inadvertently pave the way to the short squeeze on the stock this January and the wider meme-stock frenzy. Burry’s most recent portfolio update revealed that he was betting on Elon Musk and Cathie Wood of Ark Invest.
