Exodus Movement, a publicly traded cryptocurrency company, has initiated legal action against W3C, the parent entity 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 adhere to the terms outlined in the November 24, 2025 Stock Purchase Agreement. Following the signing of the deal, Howat and W3C received $80 million in loans from Exodus, with Howat personally receiving $10 million, which he later claimed did not need to be repaid, as alleged in the lawsuit. The lawsuit asserts that Howat and W3C are attempting to evade their obligations under the binding agreement, having engaged in actions such as falsifying documents and improperly dismissing key personnel.
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, anticipating a swift resolution.'