Musk is said to be considering blockchain to track federal spending

Elon Musk is reportedly considering using blockchain technology in… Government Efficiency Department (Doug).

Musk, the head of the newly created agency, has floated the idea of ​​using the digital ledger to cut government spending, Bloomberg News reported I mentioned Saturday (January 25), citing sources familiar with the matter.

Discussions were included Use Blockchain technology to monitor federal spending, make payments, secure data and manage government buildings, the sources said. One source told Bloomberg that people associated with DOGE met with representatives of public blockchains to evaluate their technology.

It was created last week amid a wave of President Trump’s executive orders, DOGE’s goal is To modernize federal programs and technology to enhance efficiency and productivity within the federal government. The group is expected to submit its recommendations on cuts by July 4, 2026.

The group’s efforts come at a time when Trump is making pro-crypto policies. On Thursday (January 23), he issued an executive order establishing the Presidential Working Group on Digital Asset Markets. This group will explore creating “National Digital Asset Stock They may have been made from cryptocurrencies seized by law enforcement.

“At its core, the order signals a shift in the federal government’s approach to blockchain technology and stablecoins and The broader digital asset ecosystem, with a focus on innovation and regulatory clarity and “Competitive positions,” PYMNTS wrote last week.

“For the payments industry, this policy represents both Opportunity and challenge“, and reshaping how financial technology is poised to evolve in the United States.”

In other blockchain news, PYMNTS wrote last week about the importance of privacy in scaling Technology Across the financial services sector.

Research by PYMNTS Intelligence found that blockchain technology offers a number of advantages Potential benefits To process The unique needs of regulated industries, Financing included.

“As more banks integrate blockchain capabilities, customers will Greater choice in transferring value.” FV Bank CEO Miles Pacini he told PYMNTS this month. “We are making our way towards a future where blockchain technology is just another means of payment.”

but Without strong privacy mechanisms, adoption of blockchain technology in financial services could be limited to niche use cases where strict data protection is not needed.

“Ultimately, the relationship between… Blockchain and traditional finance “It embodies the broader tension between innovation and regulation,” PYMNTS wrote.

“By embracing this paradox and investing in privacy-preserving technologies and collaborative frameworks and With regulatory clarity, the financial industry can turn blockchain transparency from a challenge into a competitive advantage.