Biosteel is fascinating stuff, but it takes some craft to go from a manila fiber to a hawser fit for hauling battleships. That's the hangup as I understand it. My wife is a handspinner. The most important thing is the average length of the individual filaments being spun ("staple"). If the fibers have little barbs (eg wool) then a good yarn can be had from short staple, but if they are smooth as a baby's butt (eg silk) you need a long staple. I think the biosteel fibers are smooth. There is another poster here who knows more about it than I do, maybe he can add some color.
Also, when I say "Nexia continues" understand that contrary to "true story but the names have been changed to protect the innocent" the name remains Nexia but different principals are now behind it than when biosteel began.
There was a technical item in the news river a year or so ago indicating that things may be looking up for biosteel but a quick dredge didn't turn it up, maybe the other poster knows what I'm remembering.