Elon Musk is reportedly pushing to use blockchain technology in the newly created Department of Government Efficiency (DOGE). This is part of a larger effort by the Trump administration to boost the digital asset industry.
Blockchain for Government?
Sources say Musk wants to use a digital ledger to cut government costs. Potential uses include tracking spending, securing data, processing payments, and managing infrastructure. The DOGE department’s goal is to modernize government tech to improve efficiency. The department’s name is a nod to Dogecoin, a popular cryptocurrency.
The Challenges of Blockchain in Government
This initiative is tied to Trump’s focus on reducing government waste. One of Musk’s allies even pitched blockchain applications to the transition team, highlighting improved security and transparency.
However, using public blockchains (like Bitcoin or Solana) for government raises concerns. A public blockchain means less control over data. Experts point out that this could make oversight difficult. Many companies have tried using blockchain, often with private ledgers, but these projects often faced issues with governance and efficiency. Some argue that traditional databases might be just as good, with fewer headaches.
Will it Actually Happen?
This could be one of the biggest government blockchain projects ever attempted. But it’s still unclear what type of blockchain Musk’s team might use, and whether these discussions will lead to any real-world projects. At the moment, Dogecoin is trading at $0.33.
