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Data Privacy,
Bankruptcy

Mar. 25, 2025

23andMe bankruptcy requires unique scrutiny, experts say

23andMe's bankruptcy filing raises unique concerns over its DNA data sale, with experts and regulators scrutinizing consumer privacy as the company navigates Chapter 11 after a 2023 breach.

23andMe bankruptcy requires unique scrutiny, experts say
Shutterstock

Bankruptcy attorneys said Monday that 23andMe Inc.'s bankruptcy filing requires unique scrutiny on the next buyer of the business given the amount of DNA customer profiles and data the company still holds.

Ori S. Blumenfeld, a Sherman Oaks partner for Levinson Arshonsky Kurtz & Komsky LLP who specializes in bankruptcy proceedings, said that 23andMe's desire to sell its assets, the customers' DNA profiles, to a future buyer through the bankruptcy proceedings create...

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