Exodus Movement, a publicly traded cryptocurrency company, has initiated legal proceedings against W3C and its CEO, Garth Howat, in an effort to finalize the $175 million acquisition agreed upon in November 2025. The lawsuit, filed in the Delaware Court of Chancery, aims to hold Howat accountable for adhering to the terms 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. However, they allegedly claimed the loans did not need to be repaid. The lawsuit accuses Howat and W3C of engaging in a deliberate attempt to evade their commitments, including falsifying documents and making unauthorized changes to the company's leadership. Exodus CEO and Co-founder JP Richardson stated that the company expects the binding agreement to be honored and anticipates a prompt resolution.