Cryptocurrency company Exodus Movement has initiated legal action against W3C and its CEO, Garth Howat, in an effort to complete a $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 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 evade their commitment to the sale, having engaged in a series of questionable actions, including the backdating of documents and the dismissal of key personnel.
Exodus CEO JP Richardson stated that the company expects the agreement to be honored in full and is confident in a swift resolution.