The current invention relates to encapsulation methods comprising alginate-based microencapsulation for the immune-protection and long-term functioning of biological material or therapeutics. The biological material or the therapeutics are encompassed by a membrane formed by jellifying an alginate polymer. Specifically, although by no means exclusively, the encapsulation system is intended for use in allo-or xenotransplantation. The membrane provides for a protective barrier of the encapsulated material, ensuring the longevity and preventing unwanted influences from outside the barrier, such as inflammatory reactions or immune-responses. The invention is furthermore directed to methods of producing and providing the encapsulated products for use in cell therapies. The therapeutic products obtained by the encapsulation method may provide a method for ameliorating of treating a range of conditions.