Elon Musk, always one to think outside the box, is reportedly considering blockchain technology to curb wasteful government spending and combat fraud. According to Bloomberg, Musk has been in talks with representatives from public blockchains as part of his Department of Government Efficiency (D.O.G.E) initiative. While no formal announcements have been made, the idea is to apply distributed digital ledgers to federal operations like tracking spending, securing data, and even automating payments.
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Blockchain Advocates Back Musk’s Vision
Industry leaders are optimistic about the potential. John Deaton, managing partner at the Deaton Law Firm, told Cointelegraph that blockchain could reduce corruption and restore public trust. He envisions its use in departments like Defense for supply chain tracking and in Medicare for entitlement payments through smart contracts.
Paul Brody of Ernst & Young (EY) emphasized that blockchain can deliver real-time accountability. EY’s Public Finance Manager product, already implemented in places like Toronto, tracks every dollar spent, creating transparency and boosting efficiency.
Global Blockchain Use Sets Precedent
Countries like Estonia and the UAE have already adopted blockchain for governance. Estonia’s blockchain-based infrastructure has issued over 400 million digital signatures, saving 2% of its annual GDP, according to Naseem Naqvi of the British Blockchain Association. Experts believe a similar move by Musk could supercharge the U.S. blockchain sector, with Concordium’s Boris Bohrer-Bilowitzki predicting it could inspire governments worldwide to follow suit.
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