Musk’s Department of Government Efficiency Considering Blockchain

The agency is reportedly considering how public blockchains could reduce government costs.

Elon Musk’s Department of Government Efficiency (DOGE) could make use of blockchain technology, according to a Jan. 25 report from Bloomberg.

Musk has reportedly spoken to allies about using blockchain to reduce government costs. The organization could specifically use the tech to track federal spending, secure data, perform payments, and manage buildings.

So far, DOGE affiliates have met with public blockchain representatives and evaluated their projects, according to one knowledgeable source. (Outside experts, by contrast, told Bloomberg that a private blockchain that gives the government greater control of the network would be more viable choice.)

Another source said that Musk tapped about 100 volunteers to write code for his projects ahead of Trump’s inauguration.

Musk, the White House, and DOGE did not confirm the reports. Bloomberg cited anonymous sources, who said the discussions were not public.

Even if the Department of Government Efficiency does adopt blockchain, it would be just one of several technologies that the organization uses to achieve its goals.

DOGE is more broadly tasked with modernizing the federal government’s technology and software to improve efficiency and productivity, according to U.S. President Donald Trump’s Jan. 20 executive order establishing the organization.

Earlier reports suggested that the organization would be responsible for cutting excessive spending and removing unnecessary regulations.

While some critics are concerned that DOGE could act outside the bounds of the latest executive order, the organization also exists under other limitations.

Critically, DOGE is not a executive department of the U.S. federal government. Instead, it is a temporary organization that will expire on July 4, 2026. Trump has committed to ending the program by that time, while Musk has said that the department should be so efficient that it eliminates itself.

DOGE also exists alongside other crypto initiatives within the Trump administration, including a government-wide executive order on crypto and a U.S. Securities and Exchange Commission (SEC) task force intended to improve regulation of crypto.

Until now, the Department of Government Efficiency has only had a loose connection to the cryptocurrency and blockchain sector.

The organization’s name refers to the “doge” meme, which became popular in 2013 and features a smiling Shiba Inu dog. The meme is the basis of a cryptocurrency, Dogecoin, which Musk frequently promotes.

That connection extended to the organization’s website, doge.gov, which briefly added the Dogecoin logo on Jan. 21. Dogecoin’s price rose 14% at the time.

However, there is no indication that the organization plans to use Dogecoin directly.