Embattled genetic testing company 23andMe, once valued at $6 billion, filed for Chapter 11 bankruptcy protection in Missouri federal court on Sunday night. The company’s CEO, Anne Wojcicki, has resigned from her role as chief executive effective immediately, though she will remain a member of the board. “We have had many successes but I equally take accountability for the challenges we have today,” Wojcicki wrote in a post on X early Monday morning. “There is no doubt that the challenges faced by 23andMe through an evolving business model have been real, but my belief in the company and its future is unwavering.” 23andMe declined to comment further on the filing. The former billionaire co-founded 23andMe in 2006, and the company rocketed into the mainstream because of its at-home DNA testing kits that gave customers insight into their family histories and genetic profiles. The five-time CNBC Disruptor 50 company went public in 2021 via a merger with a special purpose acquisition company, which valued the company at around $3.5 billion at the time. 23andMe’s stock has mostly been in free fall in recent years as the company struggled to generate recurring revenue and stand up viable research and therapeutics businesses. As of Monday morning, the company has a market capitalization of around $25 million. If 23andMe’s plan to sell its assets through a Chapter 11 plan is approved by the court, the company will “actively solicit qualified bids” over a 45-day process. Wojcicki plans to pursue the company as an independent bidder, she said in her post on Monday. Beyond its financial woes, privacy concerns around 23andMe’s genetic database have swirled in recent years. In October 2023, hackers accessed the information of nearly 7 million customers.   WHAT HAPPENS TO ALL THAT DNA DATA? If you were a 23andMe customer and are wondering about your information, as of now, it is unclear what happens to all the DNA data. DNA samples compiled by 23andMe is not covered by the Health Insurance Portability and Accountability Act (HIPAA), according to TechCrunch.com, rather it follows its own privacy policies, which can in theory change at any time. According to TechCrunch, Wojcicki allegedly told investors that the company will no longer continue with its cost-intensive drug development programs but rather focus on marketing its customer database to pharmaceutical companies and researchers. However, 23andMe said there will be no changes to the way that it stores, protects or manages customer data through the sale process, and it will continue operating business as usual. “As I think about the future, I will continue to tirelessly advocate for customers to have choice and transparency with respect to their personal data, regardless of platform,” Wojcicki said. PROACTIVELY DELETING YOUR ACCOUNT Privacy activists are asking 23andMe customers to proactively delete their accounts or take action to protect their data from being sold. California Attorney General Rob Bonta on Friday issued a consumer alert urging residents to consider deleting their genetic data from 23andMe’s website. To request deletion of your data log in to your 23andMe account and navigate to Settings > Account Information > Delete Your Account. 23andMe will prompt you to confirm your decision, warning that deleting your account is permanent and irreversible, according to TechCrunch. However, it is important to note the company’s privacy policy which allows 23andMe to retain certain information for an unspecified amount of time. ...read more read less