Exodus Movement, a publicly traded cryptocurrency company, has initiated legal proceedings against W3C, the parent company of Baanx and Monovate, 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 fulfill his obligations as outlined in the November 24, 2025 Stock Purchase Agreement.
Upon signing the deal, Howat and W3C received $80 million in loans from Exodus, with $10 million allocated to Howat personally, which he later claimed did not need to be repaid, according to the lawsuit. The lawsuit alleges that Howat and W3C are attempting to evade their commitment to the sale, citing a series of improper actions, including the backdating of documents and the dismissal of key executives. In response to the allegations, JP Richardson, CEO and Co-founder of Exodus, stated that the company expects the agreement to be honored and is confident in achieving a swift resolution.