Exodus Movement, a listed 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 in November 2025. The lawsuit, filed in the Delaware Court of Chancery, seeks to compel Howat to fulfill his obligations under the 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 repayment was not necessary. The lawsuit alleges that Howat and W3C are attempting to evade their commitment to the acquisition, having engaged in a series of questionable actions, including the backdating of documents and the dismissal of key executives.
Exodus CEO JP Richardson expressed confidence in the binding agreement and anticipated a swift resolution. Howat has yet to respond to requests for comment.
W3C's subsidiaries, Baanx and Monovate, were involved in the Crypto Life digital asset cards business, which collaborated with major players such as Mastercard and MetaMask.