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 last year. The lawsuit, filed in the Delaware Court of Chancery, seeks to compel Howat to fulfill his obligations as outlined in 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 renege on their commitment to complete the sale, engaging in actions such as falsifying documents and attempting to dismiss key personnel. Exodus CEO and Co-founder JP Richardson stated, 'We have a binding agreement in place and expect it to be honored in full. We are confident in our position and anticipate a prompt resolution.'