Exodus Movement, a listed cryptocurrency company, has initiated legal action against W3C and its CEO, Garth Howat, in an effort to complete the previously agreed upon $175 million acquisition. The lawsuit, filed in the Delaware Court of Chancery, aims to compel Howat to fulfill his obligations as outlined in the November 24, 2025 Stock Purchase Agreement.
Upon signing the deal, W3C and Howat received $80 million in loans from Exodus, with Howat personally receiving $10 million. However, they have since claimed that these loans do not need to be repaid. The lawsuit alleges that Howat and W3C are attempting to evade their commitments and have engaged in improper conduct, including falsifying documents and dismissing key personnel.
Exodus CEO JP Richardson stated that the company expects the binding agreement to be honored and is confident in a swift resolution.