Interview with Sofie Hafström Nielsen (pictured), CEO of Y factor, at www.yfactor.app

Y factor offers a radically different approach to sperm donation — what inspired the creation of this platform, and how does it build on Ole Schou’s legacy in the fertility industry?

Y factor is born with the vision of shaping a world where anyone can build a family of their choice, and we are on a mission to make family creation an easy personal choice for all by connecting future parents and donors through our platform. We want to offer an accessible solution to donation that doesn’t exclude anyone based on origin, sexuality, or the size of their wallet. Our platform reflects the shift in consumer behaviour towards control, autonomy, and personal choice.

Join The European Business Briefing

The daily email on markets, technology, power and money across Europe. Join 10,000+ founders, investors and executives who read EBM every morning.

Subscribe

With over 40 years of experience shaping the fertility industry as we know it, Ole Schou recognised firsthand the inequality people face around the world. Many do not have access to their preferred fertility services due to restrictive regulations, and this highlights the need for more inclusive alternatives.

As you launch in the UK, what do you see as the most pressing gaps in the current sperm donation landscape that Y factor aims to solve?

The UK has progressive fertility laws and a high demand for donor sperm, but the traditional route has several limitations. Forced ID-release, low limit on offspring, and very high time and effort requirements on bank donors are also some of the factors that contribute to a deficit in local donor sperm. On the recipient side, the system favours heterosexual couples, as single women and lesbian couples are usually required to have six cycles of self-funded IUI before being able to claim NHS benefits. Cost-wise, it can run into tens of thousands of pounds, waiting times can be lengthy, and there has been a shortage of donors of particular ethnicities and religious backgrounds. These are just a few of the elements that are forcing many to consider alternatives in the peer-to-peer market.

In addition, more people seek out known donations on their own initiative, looking for greater transparency and control over who their counterparts are, as well as critical needs that cannot currently be fulfilled within the regulated system. The peer-to-peer market, however, is stigmatised as risky and unregulated, and Y factor hopes to bridge this gap by offering a trusted digital environment where future parents and donors can match based on their preferences, values, and expectations, while preserving personal control and reducing costs.

You’ve positioned Y factor as an inclusive alternative for solo mothers, LGBTQ+ families, and others. How important is community and transparency in your model compared to traditional sperm banks?

Community and transparency are central to Y factor. Acting as middlemen, traditional sperm banks are designed for anonymity and distance, where our users are looking for the opposite: connection, informed choice, and control. Whether it’s a solo mother, a same-sex couple, or a co-parenting arrangement, users value knowing who the donor is, discussing expectations directly, and understanding the story behind their future child’s origin. Similarly, the donors appreciate getting to know and control who they donate to. They might agree to donate to specific couples or individuals in their community and take more part in the child’s upbringing, depending on their preferences. By offering peer-to-peer contact supported by verification tools and profile transparency, Y factor supports these new family models in ways old systems cannot.

There’s often concern around regulation, medical safety, and privacy with private sperm donation. How does Y factor ensure a safe, responsible, and ethical experience for all users?

When bringing babies into the world (whether with a partner, a one-night stand, or through sperm donation), one cannot avoid health-related risks, financial risks, or legal risks. While peer-to-peer donation operates outside formal clinic regulation, we aim to set new standards for responsibility and transparency in this space.

Our platform requires users to disclose preferences and expectations, helping users align upfront. ID verification, profile reporting, and blocking tools reduce the risks of fraud or misconduct. On the medical side, users are given recommendations on STI testing, genetic screening, and sperm quality analysis that allow them to make medically safe choices. FAQs and features help users manage their privacy, and any disclosure of personal information, conversations, and matches remains entirely under the users’ control. Users can unmatch at any time.

Our approach closes many of the gaps that make other informal donation routes feel unsafe or unclear. In the longer term, our mission is to make peer-to-peer donation an option that feels as informed and thoughtful as going through a clinic, but with the freedom, autonomy, and user-driven choice.

What role does technology play in building trust and connection between donors and intended parents, and how does your app approach matchmaking differently from dating or donor platforms?

Technology enables trust when it offers clarity and control. Y factor’s app is a structured matching tool built around family-building goals. Users filter by preferences that matter, such as commitment level, donation method, distance, age, etc. The chat feature opens only after mutual interest is shown, reducing unwanted messages. We also have an in-app reporting function, allowing users to report profiles that don’t follow our community guidelines or if they misrepresent themselves.

When Tinder was launched, it revolutionised dating through an easy-to-use social app. Y factor matches people looking for anything from a one-off donation to a long-term co-parenting commitment. The main difference is that Y factor is a family-building platform, not a dating app, so it is for people interested in either growing their own family or helping others grow theirs. Our approach keeps focus on responsibility, clarity, and mutual respect, not romance. Compared to private donation forums and groups on social media, Y factor is designed to make the journey easier, with a structured search and matching process. Compared to other peer-to-peer donation platforms, Y factor prioritises transparency throughout the matching process, while offering a great user experience at an affordable price.

What cultural or legal challenges have you had to consider when expanding into the UK, and how does the UK fertility ecosystem compare to Denmark’s?

Cultural challenges:

The UK and Denmark share open attitudes towards fertility innovation, and both countries are struggling with low birth rates. There is a shift in policy, supporting people who want to have children, and peer-to-peer donation is now legally permitted in both countries.

In Denmark, clinic-based donation is supported by generous state subsidies and a legal structure that allows for both anonymous and ID-release donations. In contrast, the UK’s NHS coverage for fertility treatment is limited, with long waiting times and strict criteria that often disadvantage single women and same-sex couples. UK law mandates ID release for all bank donations and imposes a more stringent cap on offspring per donor, further constraining the supply. These factors have fuelled a growing peer-to-peer donation market.

In both countries, there is legal uncertainty surrounding parental rights in private donation, which gives clinics and banks an undesirable monopoly, forcing people into the system and ultimately costing society more money. There’s a great need for modernisation of UK laws so that they better reflect the range of family structures and conception methods present in a digital society.

Looking ahead, do you envision Y factor as a disruptor to the global fertility industry, and how do you plan to balance growth with the sensitivity and responsibility the space demands?

Our mission is to help everyone build the family they dream of, regardless of their location, access to public services, background, sexuality, or budget. As such, we aim to challenge the traditional approach of the fertility industry by giving users control and flexibility. We are committed to building a service that responsibly facilitates private donations while advocating for changes in legislation to provide greater legal protection to individuals choosing this route of donation. Y factor is here to professionalise this market with a better structure and transparency, while providing more user autonomy.

Our growth strategy focuses on markets where private donation is legal and culturally acceptable, starting with the UK and Denmark, and thereafter the US, where states such as California are leading the way on parental protection for private donation agreements.