Exodus Movement, a publicly traded cryptocurrency company, has filed a lawsuit 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, submitted to 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 $10 million allocated directly to Howat, who subsequently claimed the loans did not require repayment. The lawsuit alleges that Howat and W3C are attempting to evade their commitments to the acquisition, having engaged in a series of questionable actions, including falsifying documents and attempting to remove key personnel from their subsidiary companies.
Exodus CEO and Co-founder JP Richardson expressed confidence in the binding agreement, stating that he expects it to be fully honored and anticipates a swift resolution to the dispute.