The legendary Wall Street investor Michael Burry, who gained global fame through the Hollywood movie 'The Big Short', has made headlines once again by shutting down his hedge fund Scion Asset Management. Official records confirm the fund's termination on November 10, 2025, marking the end of an era for one of finance's most controversial figures.
Who is Michael Burry: The Man Who Predicted 2008 Crisis
Michael Burry established his reputation as the visionary hedge fund manager who accurately predicted and profited from the 2008 global financial crisis. His most famous move involved betting against the United States housing market using credit default swaps (CDS) as early as 2007.
Burry identified critical irregularities in the housing market that would ultimately trigger the worst financial collapse since the Great Depression. When the subprime mortgage crisis unfolded, his prescient bets earned him approximately $100 million while his portfolio held insurance against failing bonds.
His extraordinary story was immortalized in Michael Lewis's 2010 bestselling book 'The Big Short: Inside the Doomsday Machine', which was later adapted into an Academy Award-winning 2015 film featuring Christian Bale as Burry alongside Ryan Gosling and Steve Carell.
Burry's Post-Big Short Investment Journey
After facing investigations and lawsuits following his famous prediction, Burry temporarily exited the financial markets before returning in 2013 with his own company, Scion Asset Management. His comeback marked a new chapter in his controversial career.
In a 2019 Bloomberg interview, Burry raised alarms about what he termed the "index bubble", warning that it resembled the dangerous pre-2008 subprime collateralised debt obligations (CDOs) boom that precipitated the financial crisis.
His investment moves continued to generate attention, particularly his early exit from GameStop. Burry sold his entire stake in the video game retailer in late 2020, missing out on the meme-stock frenzy that saw GameStop shares surge over 2,000% in early 2021.
By May 2021, regulatory filings revealed that Burry's firm had taken put-option positions against Tesla, targeting 800,100 shares. This move aligned with his public warnings that the electric vehicle maker's valuations significantly exceeded its fundamental business metrics.
The Final Warnings: AI Bubble and Accounting Fraud Allegations
Throughout 2025, Burry intensified his criticism of artificial intelligence and technology company valuations. He recently expressed bearish views on Wall Street favorites Nvidia and Palantir, cautioning that AI enthusiasm has artificially inflated this year's market rally.
In a significant social media post on November 10, 2025, Burry highlighted what he described as accounting manipulation by major technology companies. He accused hyperscalers of artificially extending the useful life of computing equipment to boost reported earnings, calling this practice "one of the more common frauds of the modern era."
Burry specifically challenged the accounting treatment of semiconductor chips and servers purchased from Nvidia, noting that equipment with typical two to three-year product cycles shouldn't justify extended depreciation schedules.
"By my estimates they will understate depreciation by $176 billion 2026-2028. By 2028, Oracle will overstate earnings 26.9%, Meta by 20.8%, etc. But it gets worse. More detail coming November 25th. Stay tuned," Burry stated on X, promising further revelations about his findings.
The closure of Scion Asset Management represents the latest chapter in Burry's unconventional career, coming at a time when his warnings about market excesses have grown increasingly urgent. His departure from the hedge fund landscape leaves Wall Street without one of its most vocal and prescient critics.
