You can still use 23 and Me to get your results, but you have to go elsewhere (like to your doctor) to interpret the results. They were basically giving patients a diagnosis without going through the proper legal work to be able to give diagnoses. It would be no different than some random person giving you a medical diagnosis without being an actual licensed doctor.
This was not a case of over regulation. It was pretty simple, and the FDA tried repeatedly to work with 23 and Me to bring them into compliance, but the company basically ignored the FDA's requests for meetings and information. They have nobody to blame but themselves, and what happened was good for consumers.