I think that Chelsea is a red herring for the viewers to make them think that there really is a Georgia. The further we get into this SL, the more convinced I become that the files were planted in the Dimera database to lure Bo or Billie into a trap. As soon as the Organization knew that the file was opened, it started on a pre-set plan to continue to make Billie/Bo keep looking and fall into Dimera clutches.
The idea that the Dimeras could have gotten to Billie when and where she gave birth doesn't make any sense within the context of the story. Well, okay, that doesn't mean anything, but still. . .

Carpe Chocolate!

Capecodfan, I am amazed you are still trying to make sense of the story. After 39 years, I totally stopped the day Bonnie ruined Alice's Christmas tree. Didn't even watch the wedding or Shawn's motorcycle antics. EE a couple times a week is making me know I still won't watch.
More power to you!!

Let's face it, if the 'parents' are fake, then the idea that she's still in the world of the living must be fake, too. As far as I can tell, Chelsea's there so that the boys of Salem won't wind up marrying their sisters.

Bwhaaaaa!! Salem is so "close" that they really do need to introduce some new blood.

I think that Chelsea will turn out to be Jan's sister. Her parents are dead which is why she can come and go as she pleases.