Key Takeaways:
- Elon Musk’s Department of Government Efficiency (DOGE) is reportedly exploring blockchain to reduce inefficiencies in federal spending, which reached $6.7 trillion in 2024.
- The department has engaged with leaders from major public blockchains to discuss solutions like data security, payment management, and federal spending tracking.
- Created under President Trump’s administration, DOGE reflects Musk’s and Trump’s crypto-friendly stance, alongside a broader federal review of digital assets.
Elon Musk, head of the Department of Government Efficiency (DOGE), is reportedly exploring blockchain technology to improve federal operations.
Sources indicate Musk views blockchain as a cost-effective solution for tracking federal spending, securing data, managing payments, and overseeing government assets.
Exclusive: Elon Musk has initiated talks about using blockchain in his US government efficiency effort. https://t.co/nqmntEfzHh
— Bloomberg Crypto (@crypto) January 25, 2025
Representatives from DOGE have allegedly engaged with leaders of prominent public blockchains.
The department was created under President Donald Trump to tackle inefficiencies in federal spending, which reached $6.7 trillion in fiscal 2024.
Musk, who criticized this amount as “wasted,” aims to cut expenditures to $2 trillion.
DOGE’s acronym, a nod to Musk’s favorite cryptocurrency, Dogecoin, reflects Trump’s broader push for crypto-friendly initiatives.
On January 20, 2025, the same day the department was established, Trump signed an executive order creating a working group on digital assets.
Led by venture capitalist David Sacks, the group will review crypto regulations within 30 days and explore other digital asset opportunities.
Musk’s interest in blockchain aligns with his commitment to modernizing government processes and reducing waste.