I can't think of any practical use for such a Genetic Access Control method nor of a reason to feel outrage and clamor "racism". For a start, this app only works for users who are also 23andme clients anyway, who also agree to have the app access their data (à la Twitter), and I'd say those people pretty much already explicitly waived their genetic privacy.
Also, I can attest to how widely inaccurate some of the results you get through the API can be, especially the ethnic origin results. In my case it's ~16% inaccurate. It's known to overstate european origins and downplay or entirely lack quite a few less common origins, as the comparison database misses data from entire ethnical groups (Sinté, Romani...) or has only a handful (or single) individual DNAs for many potential origins (Romania, Azerbaijan, etc.). And the haplogroups tree that the API reports from is outdated (and, again as in my case, very lacking of resolution in several branches).