Famed short seller Jim Chanos closed his closely-watched wager pitting Strategy against bitcoin , saying the valuation gap that once made the trade so compelling had largely vanished. Chanos said Saturday in a social media post on X that as of Friday’s market open he had unwound his pair trade of shorting Strategy and going long bitcoin . The move came after Strategy shares plunged about 50% from their 2025 peak, erasing much of the premium investors were once willing to pay for its massive bitcoin holdings. The software company has bought billions of dollars worth of bitcoin in recent years, becoming the largest corporate holder of the flagship cryptocurrency. Strategy, formerly MicroStrategy until earlier this year, used leverage to amass its bitcoin stockpile and once traded at a wide premium to its bitcoin holdings. MSTR YTD mountain Strategy shares year to date Chanos referenced Strategy’s market-implied net asset value, or mNAV, a metric that compares the market value of a company to the value of the assets it holds. In Strategy’s case, that’s almost entirely bitcoin. When Chanos first recommended the trade privately at his Bears In Hibernation Conference in December 2024, Strategy’s mNAV was closer to 2.5x, meaning investors were paying about $2.50 for every $1 of bitcoin that Strategy owned. Since then, Strategy’s common stock has fallen even as bitcoin has stayed n …
