23andMe (Chrome Holding Co.)

23andMe (Chrome Holding Co.)

In October 2023, **23andMe** suffered a **massive data breach** exposing the **personal and genetic data of nearly 7 million users**, including highly sensitive DNA profiles, health records, and personally identifiable information (PII). The breach led to severe consequences for affected individuals, including **identity theft, targeted harassment (especially against LGBTQ+ members like Salman Jaberi), mental health deterioration (e.g., Elvira Olguín’s vascular episode and vision loss due to stress), and financial fraud**. The company filed for bankruptcy in March 2024, facing **over 250,000 claims** (many suspected fraudulent) tied to the incident, with settlements proposed at **$30M–$50M (US) and $3.25M (Canada)**—far below the claimed **$51 trillion** in damages. Victims reported **long-term risks**, such as nation-state exploitation of immutable DNA data, while the company struggled to verify legitimate claims. The breach’s **unique harm**—irreplaceable genetic data—heightened distress, with many users feeling the settlements provided **insufficient relief** for ongoing damages like privacy protection costs, medical expenses, and emotional trauma.

Source: https://news.bloomberglaw.com/bankruptcy-law/23andme-clients-navigate-uncertain-future-two-years-after-breach

TPRM report: https://www.rankiteo.com/company/23andme

"id": "23a4433044101425",
"linkid": "23andme",
"type": "Breach",
"date": "10/2023",
"severity": "100",
"impact": "5",
"explanation": "Attack threatening the organization's existence"
{'affected_entities': [{'customers_affected': '~7 million users (global)',
                        'industry': 'Biotechnology/Genetics',
                        'location': 'Sunnyvale, California, USA',
                        'name': '23andMe (Chrome Holding Co.)',
                        'type': 'Private Company'},
                       {'customers_affected': '1 (personal health impact)',
                        'location': 'Málaga, Spain',
                        'name': 'Elvira Olguín',
                        'type': 'Individual'},
                       {'customers_affected': '1 (identity theft and '
                                              'harassment)',
                        'name': 'Salman Jaberi',
                        'type': 'Individual'}],
 'customer_advisories': ['Identity verification required for claims',
                         'Limited windows for filing extraordinary loss claims '
                         '(US: Oct 2025; Canada: 6 months)'],
 'data_breach': {'data_exfiltration': 'Confirmed (sold or leaked, suspected '
                                      'dark web activity)',
                 'number_of_records_exposed': '~7 million',
                 'personally_identifiable_information': ['Names',
                                                         'Email Addresses',
                                                         'Genetic Profiles',
                                                         'Family Connections',
                                                         'Health Research '
                                                         'Data'],
                 'sensitivity_of_data': 'Extreme (immutable genetic data, '
                                        'health records, family ties)',
                 'type_of_data_compromised': ['Genetic/DNA Data',
                                              'Personal Identifiable '
                                              'Information (PII)',
                                              'Health Data',
                                              'Family Relationships',
                                              'Credit-Linked Data']},
 'date_publicly_disclosed': '2023-10',
 'description': 'A data breach at 23andMe (now Chrome Holding Co.) exposed the '
                'personal and genetic information of nearly 7 million users in '
                'October 2023. The incident led to significant privacy '
                'concerns, including identity theft risks, mental health '
                'impacts, and financial losses for affected individuals. The '
                'company filed for bankruptcy in March 2024 and proposed '
                'settlements for class-action lawsuits in the US and Canada, '
                'with payouts ranging from $100 to $165 per affected user, '
                'plus additional compensation for extraordinary losses like '
                'identity fraud and mental health treatment. The breach raised '
                'unique challenges due to the immutable nature of genetic data '
                'and difficulties in proving future harm linked to the '
                'incident.',
 'impact': {'brand_reputation_impact': 'Severe (linked to immutable genetic '
                                       'data exposure and bankruptcy)',
            'customer_complaints': ['Confusion over bankruptcy hearings',
                                    'Fear of identity theft',
                                    'Mental health impacts (e.g., Elvira '
                                    "Olguín's vascular episode)",
                                    'Harassment and targeted ads (e.g., Salman '
                                    'Jaberi)'],
            'data_compromised': ['Personal Information',
                                 'Genetic/DNA Data',
                                 'Health Data',
                                 'Family Names',
                                 'Credit Information (linked to identity '
                                 'theft)'],
            'financial_loss': {'company_asset_sale': '$300 million (June 2024)',
                               'individual_claims': 'Up to $165 (US health '
                                                    'data exposed), $100 '
                                                    '(statutory payments for '
                                                    'certain states), '
                                                    'additional payments for '
                                                    'extraordinary losses',
                               'settlement_fund_canada': '$3.25 million '
                                                         '(CA$4.49 million)',
                               'settlement_fund_us': '$30 million to $50 '
                                                     'million',
                               'total_claims_value': '$51 trillion (disputed, '
                                                     'includes potential '
                                                     'fraudulent claims)'},
            'identity_theft_risk': "High (reported cases like Salman Jaberi's "
                                   'credit report spikes and targeted scams)',
            'legal_liabilities': ['Class-action lawsuits (US and Canada)',
                                  'Potential fraudulent claims disputes',
                                  'State privacy law violations',
                                  'Regulatory fines (pending)'],
            'operational_impact': ['Bankruptcy filing (March 2024)',
                                   'Reputation damage',
                                   'Legal and regulatory scrutiny',
                                   'Customer trust erosion']},
 'initial_access_broker': {'data_sold_on_dark_web': 'Suspected (referenced in '
                                                    'fraudulent claim '
                                                    'investigations)',
                           'high_value_targets': ['Genetic data',
                                                  'Family relationship maps',
                                                  'Health research '
                                                  'participants']},
 'investigation_status': 'Ongoing (settlements pending approval; fraudulent '
                         'claims under review)',
 'lessons_learned': ['Genetic data breaches have unique, long-term risks due '
                     'to immutability.',
                     'Difficulty in proving future harm (e.g., identity theft) '
                     'linked to specific breaches.',
                     'Bankruptcy processes may inadequately address individual '
                     'claims for intangible harms (e.g., mental health).',
                     'Fraudulent claims can dilute settlement funds for '
                     'legitimate victims.',
                     'Clear communication is critical during legal proceedings '
                     'to avoid customer confusion.'],
 'post_incident_analysis': {'corrective_actions': ['Settlement funds for '
                                                   'US/Canada class members.',
                                                   'Fraudulent claim detection '
                                                   '(e.g., identical phrases, '
                                                   'email mismatches).',
                                                   'Bankruptcy plan to resolve '
                                                   'liabilities (pending '
                                                   'approval).'],
                            'root_causes': ['Inadequate data protection for '
                                            'highly sensitive genetic '
                                            'information.',
                                            'Lack of long-term support for '
                                            'breach victims (e.g., no future '
                                            'claims representative).',
                                            'Poor communication during '
                                            'bankruptcy proceedings.']},
 'recommendations': ['Implement stronger identity verification for genetic '
                     'data access.',
                     'Establish long-term monitoring for victims of genetic '
                     'data breaches.',
                     'Improve transparency in breach notifications and '
                     'settlement processes.',
                     'Develop frameworks for compensating intangible harms '
                     '(e.g., mental health impacts).',
                     'Enhance regulatory oversight for biotech data security.'],
 'references': [{'source': 'Bloomberg Law'},
                {'source': 'Stanford University Privacy Research (Jennifer '
                           'King)'},
                {'source': 'BakerHostetler Privacy and Digital Risk Team (Paul '
                           'Karlsgodt)'}],
 'regulatory_compliance': {'fines_imposed': 'Pending (mentioned in bankruptcy '
                                            'proceedings)',
                           'legal_actions': ['Class-action lawsuits '
                                             '(US/Canada)',
                                             'State pushback over privacy '
                                             'violations',
                                             'Bankruptcy plan approval '
                                             'hearings (Nov 2024)'],
                           'regulations_violated': ['State Privacy Laws (US)',
                                                    'Potential GDPR (EU, e.g., '
                                                    'Elvira Olguín in Spain)',
                                                    'Canadian Privacy Laws']},
 'response': {'communication_strategy': ['Bankruptcy hearing notices '
                                         '(confusing to customers)',
                                         'Judge clarifications (no lawsuits '
                                         'against individuals)',
                                         'Media silence (23andMe lawyers '
                                         'declined comment)'],
              'recovery_measures': ['Class-action settlements',
                                    'Identity verification for claimants',
                                    'Fraudulent claim investigations'],
              'remediation_measures': ['Bankruptcy filing (March 2024)',
                                       'Asset sale ($300 million, June 2024)',
                                       'Settlement proposals (US/Canada)']},
 'stakeholder_advisories': ['Bankruptcy court hearings (Sept 2024, Nov 2024)',
                            'Settlement approval hearings (Jan/Feb 2025)'],
 'title': '23andMe Data Breach (2023)',
 'type': ['Data Breach', 'Privacy Violation']}
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