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 last November. 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. Upon signing the deal, Howat and W3C received $80 million in loans from Exodus, with $10 million allocated to Howat personally, who subsequently claimed that these loans were not repayable, as alleged in the lawsuit.
The lawsuit accuses Howat and W3C of engaging in a deliberate and improper attempt to evade completing the transaction, citing actions such as the backdating of documents filed with government authorities and the unjustified dismissal of key personnel. Exodus CEO and Co-founder JP Richardson stated, 'We have a binding agreement in place with W3C, and we expect it to be fully respected.
We are confident in our position and anticipate a prompt resolution.'