Leopold, the former OpenAI researcher whose hedge fund Situational Awareness was hit hard in July, is reportedly back in the options market, according to CNBC. A tipster said Leopold began buying options again from last weekend into early this week, with positions still centered on the same AI infrastructure and memory theme that defined the fund’s earlier bets. Reported names include SK Hynix, SanDisk, AMD, Bloom Energy, CoreWeave, and the Roundhill Memory ETF (DRAM), with the options position said to be worth several hundred million dollars. It remains unclear whether the new trades were funded with freshly raised public-market capital or with capital left over after the fund’s July asset sales. Earlier this year, Situational Awareness had grown to more than $45 billion at the start of July before a sharp drawdown tied to leveraged bets on AI-linked stocks forced it to sell nearly all of its public equity holdings at a discount to Citadel Securities. The fund’s size then reportedly fell to about $10 billion, while private positions, especially its stake in Anthropic, were retained.
Leopold, the former OpenAI researcher known in Chinese-language coverage as an "AI stock god," has reportedly re-entered the options market through his hedge fund Situational Awareness, according to CNBC.
A tipster said Leopold resumed buying options from last weekend into early this week. The trades were said to total several hundred million dollars and were still focused on the same AI infrastructure and memory theme that had defined his earlier positioning. Reported names included SK Hynix, SanDisk, AMD, Bloom Energy, CoreWeave, and the memory-themed Roundhill Memory ETF, ticker DRAM.
It is not yet clear whether the latest options purchases were funded by newly raised public-market capital or by capital left over after the fund's July sell-off.
July drawdown forced a steep reduction in public-market holdings
Situational Awareness suffered a sharp setback in July. At the start of that month, the fund's size had reportedly climbed above $45 billion. It had used leverage to build positions in AI-related stocks tied to memory, power, and computing capacity.
As those shares fell sharply over the summer and margin pressure mounted, the fund was forced to sell nearly all of its public-market stock positions at a discount to Citadel Securities. Its size then dropped quickly to about $10 billion. Private holdings were retained, especially its stake in Anthropic.
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