An investigation by NPR revealed fishermen collecting the crabs for the bleeding companies showed little concern for their welfare, with collectors tossing them into boats by the hundreds or picking the crabs up by their tails — in direct contradiction of recommended welfare practices. One of the bleeding companies also has been sued for repeatedly accepting horseshoe crabs unlawfully taken from off-limit islands and from inside a national wildlife refuge.

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https://www.thestate.com/news/state/south-carolina/article257214377.html

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The excessive exploitation by humans means horseshoe crabs now are listed as “Moderately Depleted” on the IUCN’s Red List. Migratory birds who rely on horseshoe crab eggs, including the red knot and piping plover, also are disappearing at alarming rates.

Meanwhile, synthetic alternatives — which don’t involve a single drop of horseshoe crab blood — have been approved and are in use by several major pharmaceutical companies.

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https://www.acciusa.com/products-and-services/bet-products/recombinant-reagent