Exodus Movement, a publicly traded cryptocurrency company, has initiated a lawsuit against W3C, the parent company of cryptocurrency payment specialists 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 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 Howat personally receiving $10 million, which he later claimed did not need to be repaid, according to the lawsuit.
The lawsuit alleges that Howat and W3C are attempting to avoid completing the transaction, citing a series of improper actions, including the backdating of documents and the dismissal of key executives. Exodus CEO and Co-founder JP Richardson stated, 'We have a binding agreement with W3C and expect it to be fully honored. We are confident in the path forward and anticipate a swift resolution.'