Exodus Movement, a cryptocurrency firm, has taken legal action 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 of the previous year. The lawsuit, filed in the Delaware Court of Chancery, seeks to compel Howat to adhere to the terms of the November 24, 2025 Stock Purchase Agreement.
Following the initial 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, as stated in the lawsuit. The lawsuit alleges that Howat and W3C are engaged in a deliberate attempt to avoid completing the transaction, citing actions such as the falsification of documents and the unauthorized dismissal of key personnel.
In response to the allegations, Howat has yet to provide a comment. The W3C subsidiaries, Baanx and Monovate, were previously involved in the Crypto Life digital asset cards business, collaborating with notable companies like Mastercard and MetaMask.
Exodus CEO and Co-founder JP Richardson expressed confidence in the binding agreement, stating, 'We expect the agreement to be fully honored and anticipate a swift resolution.'