**["AI Stock God" Fund Liquidation Behind the Scenes: Overnight Negotiations During Wedding to Sell Anthropic Equity for Funding, Ultimately Switching to Public Stock Sale]** BlockBeats reports that on August 1, renowned financial media outlet Wall St Engine revealed details behind the liquidation of the "AI Stock God" Leopold Aschenbrenner's fund. After mid-July, the market rapidly cooled, and the stock prices of Situational Awareness holdings fell, triggering daily margin calls from banks like Goldman Sachs and Morgan Stanley. It is reported that during this period, other hedge funds became aware and shorted its positions, creating a feedback loop of "price decline → margin call → forced selling → further price suppression." Leopold Aschenbrenner later likened this to a bank run. By late July, during Leopold Aschenbrenner's multi-day wedding in Carmel, he and his team were still negotiating overnight to keep the fund operational. On the evening of July 29, Leopold initially reached an agreement with investors to sell approximately $3.5 billion worth of Anthropic equity to a consortium led by Greenoaks and Sequoia (Redwood). However, in the early hours of July 30, before the market opened, Leopold changed his decision, opting to retain the private equity portfolio and instead sell public stocks. Citadel and Millennium subsequently negotiated with the fund's team past midnight. Citadel ultimately reached an agreement before the market opened on Thursday, purchasing the majority of the fund's public equity portfolio at a discount of over 10% below market value at the time. This transaction allowed the Situational Awareness fund to meet margin requirements and avoid formal default. Following the deal, related AI and semiconductor stocks rebounded on Thursday, benefiting Citadel. Around July 31, 2026, the Situational Awareness fund sent a letter to investors confirming a net loss of approximately 67% for July, though the fund still achieved a net gain of about 80% for the year. Leopold Aschenbrenner stated, "I take full responsibility for this incident." The fund has completely removed bank leverage and plans to continue operating while investing in public markets, alongside adjustments to portfolio management and risk teams. [Original Link]