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- Valhil Capital is demanding 500 billion dollars in compensation for XRP holders indirectly affected by the SEC’s Ripple lawsuit.
- The company claims that the value of XRP fell by 75% following the lawsuit and that the lost profit is a loss that must be compensated.
Jimmy Vallee, founder and managing director of Valhil Capital, is seeking $500 billion in compensation for XRP holders who suffered losses as a result of the SEC’s lawsuit against Ripple. The lawsuit, filed in December 2020, had triggered a drastic sell-off of XRP tokens, causing its value to plummet.
Vallee believes that the lawsuit prevented XRP’s price from rising further and wants to obtain compensation for the affected investors. His efforts have now gained renewed attention as the SEC/Ripple case nears its conclusion, CNF reported.
Impact of the SEC lawsuit on the XRP price
The SEC’s lawsuit against Ripple had a significant impact on XRP’s market performance. When the lawsuit was announced at the end of 2020, the price of XRP plummeted by around 75%, dropping to USD 0.17 within a few days. As a result, the token was withdrawn from the market across the board by the major exchanges. XRP was able to recover somewhat, but mostly remained below USD 1 during the protracted legal proceedings.
Vallee has argued that without the SEC lawsuit, XRP’s price would have mirrored the growth of Bitcoin and Ethereum, possibly reaching three times its previous all-time high. He believes that XRP holders have suffered financial setbacks as a direct result of the legal uncertainty. In response, Valhil Capital’s advisory team announced a $500 billion restitution initiative in a tweet, emphasizing its commitment to compensating affected investors.
Restitution and legal action
Vallee announced that more than 76,000 XRP holders who represented the interests of investors in the early stages of the Ripple litigation would be welcomed into the Crypto Justice Coalition. This coalition, led by attorney John Deaton, aims to pursue restitution on behalf of XRP investors. Deaton had previously supported XRP holders through an amicus brief during the Ripple litigation.
Vallee emphasized that the Crypto Justice Coalition believes that the fair market value of XRP could be between $8 and $10, representing a total market capitalization of nearly $500 billion. This estimate far exceeds XRP’s current market capitalization of approximately $140 billion.
At some point, we have to discuss the damages the @SECGov (and its co-conspirators) knowingly and willfully caused to XRP Holders. Lawfare against Americans by the federal government and MSM – just like against @realDonaldTrump.
Until then – the whole industry is rotten to the…
— Jimmy Vallee (@jvallee2000) March 6, 2025
Importantly, the coalition wants to avoid filing a restitution lawsuit in federal courts for now. Vallee expressed concerns about corruption in the judicial system and suggested exploring alternative avenues for justice. He also indicated that John Deaton may be considering a class action lawsuit against the SEC. Vallee acknowledged the need for careful consideration before joining a class action lawsuit, but emphasized the common goal of achieving compensation for XRP holders.
Vallee’s initiative has attracted the attention of prominent figures in the XRP community, including Crypto Eri, who recently emphasized that more details about the reimbursement plan could soon emerge. As developments unfold, XRP holders continue to eagerly await updates on potential compensation following the SEC’s dropped lawsuit.
