Sei Foundation considers acquisition of bankrupt 23andMe in bold crypto move
Sei Foundation is exploring a takeover of 23andMe
In an unprecedented move at the intersection of biotech and blockchain, the Sei Foundation has announced it is exploring a potential acquisition of 23andMe, the bankrupt genetic testing company.
Key Takeaways
- Sei Foundation is considering acquiring bankrupt genetics company 23andMe to protect user data and bring it on-chain.
- The deal would aim to return ownership of genomic data to individuals and let them choose how it’s used.
- 23andMe filed for Chapter 11 with over $214 million in creditor claims; its user data is its most valuable asset.
- Sei previously launched a $65 million fund for DeSci and sees this move as its boldest decentralized science effort yet.
The deal would mark the most ambitious venture yet by the Foundation into decentralized science (DeSci), a movement to reshape scientific research using Web3 infrastructure.
The announcement comes just one day after a U.S. bankruptcy court authorized 23andMe to pursue a sale of its assets. The company, which went public in 2021 but has never turned a profit, filed for Chapter 11 bankruptcy on March 23. Under court rules, any sale must exceed the $214 million it owes creditors to return value to shareholders. 23andMe’s most valuable asset: the genomic data of 15 million users.
Decentralized science meets genetic sovereignty
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In a post on X, the Sei Foundation stated, “We believe user data sovereignty is a matter of national security.” It emphasized that the acquisition aims to protect the genetic privacy of Americans and ensure long-term ethical control over sensitive information.
Sei outlined a three-part plan for the potential acquisition: migrating 23andMe’s infrastructure to the Sei blockchain, returning data ownership to users via encrypted on-chain transfers, and enabling users to control how their data is monetized—including the option to share in revenue generated from its use.
The proposal aligns with the Foundation’s broader DeSci agenda. Earlier this year, Sei launched Sapien Capital, a $65 million fund dedicated to supporting decentralized science projects built on its Layer 1 blockchain.
Sei price. Source: CoinGecko.
A futuristic, controversial pivot
The plan represents a radical shift from traditional data models, and raises both regulatory and ethical questions. However, supporters argue it offers a transparent, user-empowered alternative to corporate control of personal data. Sei’s post concluded: “This isn't just about saving a company, it's about building a future where your most personal data remains yours to control.”
As of Thursday, 23andMe’s stock closed at $0.77—up 45%—while SEI tokens rose 1.1% to $0.21, giving the project a fully diluted valuation of $2.1 billion.
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