Michael Burry and Scion Asset Management: SEC Registration Termination Sparks Shutdown Rumors

This analysis examines Reddit claims [1] about Michael Burry shutting down Scion Asset Management, which emerged on November 13, 2025. While social media posts and unverified screenshots have circulated claiming such an announcement, comprehensive investigation reveals

of an official shutdown announcement from Michael Burry or Scion Asset Management [0][1].

The most significant verified development is the termination of Scion Asset Management’s SEC Exchange Act registration as of November 10, 2025, according to official SEC records [0]. This regulatory change, while notable, does not necessarily indicate a complete shutdown of operations and could represent strategic restructuring.

Scion’s latest 13F filing on November 3, 2025, shows a portfolio valued at approximately $1.38 billion with aggressive bearish positioning against AI companies [0][1]:

• Palantir Technologies (PLTR): $912 million put position (66.04% of portfolio)
• NVIDIA (NVDA): $186.6 million put position (13.51% of portfolio)
• Defensive positions: Call options on Pfizer ($152.9 million) and Halliburton ($61.5 million)

This situation mirrors Burry’s 2008 shutdown of the original Scion Capital after successfully betting against the housing market. That closure came after making investors $725 million and personally earning $100 million, but was driven by investor backlash and IRS audits rather than poor performance [0].

Michael Burry returned to X (formerly Twitter) in late October 2025 after a two-year hiatus, warning about an AI bubble [1][2]. His recent activity includes:

• October 30, 2025: First post since April 2023 warning about AI bubble
• November 4, 2025: Mocked media coverage of his Palantir short position
• Current X bio hints at “More details coming November 25th”

This communication pattern suggests Burry may be preparing a significant announcement or strategic shift, though the specific nature remains unclear [1][2].

The concentration of bearish AI positions demonstrates either high conviction in Burry’s AI bubble thesis or preparation for potential fund restructuring. His public warnings about AI valuations have contributed to increased market scrutiny, though his timing has historically been early rather than perfectly precise [0][1].

The significant gap between social media rumors and verified official information highlights the challenges of distinguishing between market speculation and factual developments in the current information environment.

• Information Reliability
  : Unverified social media claims could mislead market participants about Scion’s operational status
• Market Timing Risk
  : Burry’s historical pattern of being early in his contrarian bets suggests potential mistiming of AI bubble predictions
• Regulatory Uncertainty
  : The specific implications of SEC registration termination for investors remain unclear

• Strategic Positioning
  : Burry’s track record suggests his AI warnings warrant consideration for portfolio risk management
• Information Clarity
  : The November 25th hint in Burry’s X bio may provide definitive clarity on Scion’s future
• Market Validation
  : If Burry’s AI bubble thesis proves correct, current market positioning could be highly advantageous

• SEC registration terminated November 10, 2025 [0]
• Latest 13F filing shows $1.38 billion portfolio with 66% in Palantir puts [0]
• Burry active on social media warning about AI bubble since October 2025 [1][2]
• Historical precedent of fund shutdown in 2008 after successful housing bet [0]

• Official shutdown announcement from Burry or Scion management
• Authenticity of alleged investor letters circulating on social media
• Timeline for returning capital to investors

• Official confirmation of fund status from Scion Asset Management
• Specific reasons for SEC registration termination
• Details of Burry’s November 25th announcement plans
• Current status of client assets and ongoing operations

The situation reflects Burry’s contrarian investment philosophy and historical pattern of making significant strategic moves at market inflection points. While the immediate market impact has been limited due to the unverified nature of shutdown rumors, his AI bubble warnings have contributed to increased sector scrutiny [1][2].