Exodus Movement, a listed cryptocurrency company, has filed a lawsuit against W3C, the parent company of Baanx and Monovate, and its CEO, Garth Howat, in an effort to complete the $175 million acquisition agreed upon in November last year. The lawsuit, filed in the Delaware Court of Chancery, seeks to compel Howat to fulfill his obligations under 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 then claimed the loans did not need to be repaid, according to the lawsuit.
The lawsuit alleges that Howat and W3C are attempting to avoid completing the transaction, engaging in a series of improper actions, including backdating documents and dismissing boards of directors. Exodus CEO JP Richardson stated, 'We have a binding agreement with W3C and expect it to be fully honored.
We're confident in the path forward and anticipate a swift resolution.'