Hilbert Group (HILB), a Swedish investment company specializing in algorithmic trading in the cryptocurrency market, has acquired high-frequency trading platform Enigma Nordic in a $32 million deal.
The move gives Hilbert access to Enigma’s proprietary trading system, which executes market-neutral strategies on global cryptocurrency exchanges, the companies said in a press release.
Enigma said it has processed more than 50 billion Swedish crowns (about $5.4 billion) in trading volume so far in 2025 and reports a Sharpe ratio above 3.0, a performance the company says is “rarely achieved in scalable, market-neutral digital asset strategies globally.”
Although the $5.4 billion trading volume indicates high activity, it does not necessarily mean profitability. High-frequency strategies often require massive turnover to generate low margins. Additionally, these strategies often face what is known as “alpha decay,” where returns decline over time due to inefficient capital deployment.
The Hilbert Group appears to mitigate these risks through performance-based clauses. The deal includes $7.5 million in newly issued Hilbert stock and up to $17.5 million in performance-based earnouts, including $10 million in cash.
To receive the full earnout, Enigma’s strategies must generate $40 million in net profit. The shares issued to the founders of Enigma are subject to a three-year lock-up.
Hilbert CEO Barnali Biswal said the acquisition strengthens the company’s ability to offer systematic crypto products to institutional investors.
“Enigma brings both cutting-edge technology and an entrepreneurial team with a proven track record of building and growing public companies,” Biswal said. “Their market-neutral strategies have generated very high Sharpe ratios and are a natural complement to our own quantitative platform. »
Hilbert plans to integrate the platform into its hedge fund offerings and proprietary trading desk, with new investment products launching in the coming quarters.
Hilbert Capital, the asset management arm of the Hilbert Group, began running a bitcoin-denominated hedge fund last year with initial capital of $200 million.
