Elon Musk Advocates for US Treasury Transfer to Blockchain
Amidst concerns about the US dollar's stability, Elon Musk proposes migrating the US Treasury to a blockchain system to combat alleged financial irregularities and improve efficiency.
Elon Musk has publicly advocated for migrating the U.S. Treasury onto a blockchain system. This proposal, announced via X (formerly Twitter), follows reports suggesting the Trump administration is dangerously undermining the stability of the US dollar.
Following Trump’s declaration of a national “financial emergency,” Musk, the Tesla CEO and self-proclaimed government efficiency expert, now spearheads the ironically-named “Doge department,” a governmental initiative proposed by Trump’s Commerce department nominee, Howard Lutnick, ostensibly designed to curtail wasteful government spending within the $6.5 trillion budget.
However, this unconventional arrangement has sparked significant concern, particularly amidst growing apprehension regarding the Trump administration’s perceived destabilization of the U.S. dollar.
Musk Analysis of The Current Treasury
Musk’s rationale, presented on X, cites alleged widespread illegalities within the Treasury’s payment approval processes, directly contradicting established funding laws passed by Congress.
He asserts that “Current practices violate U.S. code concerning the approval of government payments, demanding immediate cessation of these allegedly fraudulent activities.”
This assertive stance is further amplified by Musk’s affirmative response to an X influencer, Mario Nawfal, who directly inquired about the feasibility and necessity of blockchain integration within the Treasury system.
These developments are further corroborated by reports from credible news sources. The New York Times, citing anonymous sources, revealed that Treasury Secretary Scott Bessent granted the Doge Department access to the federal payment system, a network responsible for processing approximately $5 trillion annually.
Bloomberg, also relying on unnamed sources, reported on earlier discussions between Musk and his associates regarding the potential application of blockchain technology to improve federal spending oversight, enhance data security, streamline payments, and optimize the management of government buildings.
Treasury Blockchain Direction “Only” Speculation
The plan remains unclear, with no definitive indication as to whether he intends to leverage existing blockchain infrastructure (such as Bitcoin, Ethereum, Dogecoin, or other lesser-known platforms) or commission the development of a bespoke, government-specific blockchain.
This is not the first time Musk has explored blockchain integration. Internal communications between Musk and his brother, Kimbal, revealed in 2022, showcase prior discussions concerning the incorporation of blockchain technology into the X platform, a proposal ultimately abandoned.
The “Doge department’s” nomenclature itself is a reference to the Dogecoin cryptocurrency, a meme-based digital currency that Musk has publicly championed as his “favorite” and has even accepted as payment for Tesla vehicles.
