23andMe data breach victims to receive $46.75 million payout

A United States bankruptcy judge ordered genetic testing company 23andMe to pay a nearly $50 million settlement for a 2023 hack that led to the data leak of millions of their customers. 

What we know:

The court approved a $46.75 million settlement, which will be reduced by the $14.29 million already distributed, leaving the remaining balance to be paid. According to the company's website, the data breach exposed the genetic and other personal information of an estimated 6.9 million customers.

What they're saying:

Judge Brian Walsh of St. Louis said the settlement was fair and equitable and in the best interest of the trust controlled by the bankruptcy administrator of 23andMe.  

23andMe data breach

The backstory:

In October 2023, hackers used compromised accounts "credential stuffing" to access the usernames and passwords of customers to access information shared on customer accounts. 

The data breach was one of several factors that contributed to the company's March 2025 bankruptcy filing, alongside the ongoing litigation, increased competition and declining demand for genetic testing. Later that year, a nonprofit led by co-founder and former CEO Anne Wojcicki acquired the company's assets.

What's next:

Their legal trouble continues though, with 23andMe facing another lawsuit from California Attorney General Rob Bonta who is suing them over the breach, saying they ignored warnings their systems were compromised and then continued to downplay the severity of the breach. 

No ruling has been made in the California lawsuit. Bonta is seeking potentially millions of dollars ​in civil fines.

 

 

ScienceConsumer