Big Short on Wall Street: Shorting Strategy and Buying Bitcoin

Odaily News Jim Chanos, a well-known Wall Street short, is betting on Bitcoin and shorting MicroStrategy at the same time. The company has adopted a high-risk cryptocurrency strategy with the support of enthusiastic retail investors. Chanos said: "We are shorting Strategy shares and buying Bitcoin, basically buying at $1 and selling at $2.5." Chanos said: "If you look at Strategy, and some of the more worrying imitation companies now, they are raising a lot of money and are basically selling retail investors the idea that we will buy Bitcoin in a corporate structure. Because of Strategy's approach, you should value us at a similar premium."
However, Chanos called the idea "ridiculous." Strategy shares have surged more than 220% over the past year, while bitcoin has risen nearly 70% over the same period. Trump has been a public supporter of cryptocurrencies, which have surged since he announced broad tariffs in early April. Chanos said the trade is "not only a good barometer of arbitrage itself, but I think also an indicator of retail speculation." (CNBC)