My first introduction to popular investor Michael Burry was the 2015 Hollywood film "The Big Short." His character, played by the charismatic Christian Bale, discovers that the U.S. housing market is soon going to crash.
When most traders were netting profits sitting in their cozy offices, Burry was closely observing a disturbing pattern in 2005.
The Scion Asset Management founder made a bet against the housing market and shorted subprime mortgages. When the housing bubble finally burst in 2008, it led to the ensuing global financial crisis.
Related: 'Big Short' Burry Sees Similarity Between Crypto And the 2008 Financial Crisis
While most traders lost millions, Burry turned a $100 million fund into one of the most profitable trades in Wall Street history.
The episode cemented Burry's reputation as one of the sharpest hedge fund managers, and the film only amplified its impact.
The movie also influenced my teenage self to pursue a career in finance.
2008 wasn't the only time he made the right call. He also shorted overvalued tech stocks before the dot-com bubble burst in 2000. In 2021, he warned of the risks associated with meme stocks and crypto leverage before those markets unraveled.
The legendary trader is quick to separate facts from fiction and assess accurate valuations in the thick of shilling. He recently closed his hedge fund, Scion Asset Management, saying his estimation of values in securities is not in sync with the markets.
It's not that Burry is always right, but the market can ignore him at its own risk.
Michael Burry reveals stake in GameStock
On Jan. 26, Burry disclosed in a Substack post that he has recently been purchasing the shares of GameStop Corp. (NYSE: GME).
GameStop is a video game retailer that had been struggling until it became viral in early 2021.
Retail investors active on Reddit's r/WallStreetBets community began purchasing GME shares and options to squeeze significant hedge funds that were betting the stock would lose value (called short-selling).
The GME stock soared from less than $20 to nearly $500 within a few days due to buying pressure.
More News:
-
'Big Short' Michael Burry closes hedge fund, sparking crypto 'nuclear winter' warning
-
'Big Short' Michael Burry makes stunning return with a dire warning
Michael Burry says he doesn't know about 'this Bitcoin thing'
In his latest blog, Burry said,
"I own GME. I have been buying recently. I expect I am buying at what may soon be 1x tangible book value / 1x net asset value."
He explained that his investment in GameStop isn't based on a meme stock speculation or another short squeeze, but on a long-term value play. He said he believed in GameStop CEO Ryan Cohen and the company's governance and strategy.
Burry said Cohen has a crappy business, and he is milking it in the best way possible while taking advantage of the meme stock phenomenon to raise cash and wait for an opportunity to make a big buy of "a real growing cash cow business."
"I am willing to hold long-term, and I am excited to see where this goes,"Burry wrote.
On March 25, 2025, GameStop updated its investment policy to hold certain cryptocurrencies, including Bitcoin (BTC) and U.S. dollar-pegged stablecoins. The company holds 4,710 BTC on its balance sheet.
The on-chain analytics platform CryptoQuant highlighted on Jan. 23 that GameStop wallets have moved all their BTC holdings to Coinbase Prime.
Though CryptoQuant speculated that the transfer is likely a sale of Bitcoin, there is no such confirmation.
Though Burry said he doesn't know about its Bitcoin dealings, he said he cannot "argue with what has been done so far."
The hedge fund manager didn't reveal how many GME stocks he holds.
The company's stock was exchanging hands at $24 at the time of writing, up more than 4% in a day.
Related: GameStop makes heads turn with surprising treasury move
This story was originally published by TheStreet on Jan 26, 2026, where it first appeared in the MARKETS section. Add TheStreet as a Preferred Source by clicking here.
