Exodus Movement, a publicly traded cryptocurrency company, has initiated legal action against W3C and its CEO, Garth Howat, in an effort to finalize the $175 million acquisition agreed upon in November of the previous year. The lawsuit, filed in the Delaware Court of Chancery, seeks to compel Howat to adhere to the obligations outlined in the November 24, 2025 Stock Purchase Agreement. As part of the initial agreement, W3C and Howat received $80 million in loans from Exodus, with Howat personally receiving $10 million, which he later claimed did not need to be repaid.
The lawsuit alleges that Howat and W3C are attempting to renege on their commitment to complete the transaction, engaging in actions such as falsifying documents and making unauthorized changes to the company's leadership. In response to the allegations, Exodus CEO and Co-founder JP Richardson stated, 'We have a binding agreement in place with W3C and expect it to be fully honored. We are confident in our position and anticipate a swift resolution.'