President Donald Trump tapped Elon Musk to lead the new Department of Government Effectiveness, and he proposed using blockchain technology as part of the effort, Bloomberg reported.
Musk said using a digital ledger would be a cost-effective way to track federal spending, protect data, make payments and manage buildings, according to people familiar with the matter.
Several representatives of public blockchains have met with DOGE affiliates, people familiar with the matter said.
The department was created in response to federal spending of $6.7 trillion in fiscal 2024, Musk said in October money called “wasted”. He promised that the unit, whose abbreviation is a nod to Musk’s favorite cryptocurrency Dogecoin (DOGE), would cut that number to as much as $2 trillion.
Musk’s plans to integrate blockchain technology are not surprising given the name of the department and Trump’s determination to enact cryptocurrency-friendly policies in the United States.
In addition to creating DOGE on January 20, Trump also signed an executive order Establish digital asset working group Led by venture capitalist David Sacks, it is tasked with identifying all current regulations involving cryptocurrencies within 30 days.