Perhaps this is why, in a recent Twitter Spaces event, Elon Musk announced that he’s squashing his commitment to the DOGE digital currency. As of May, he’ll only be able to contribute “a day or two per week” to the endeavor. Musk has even used his tremendous power to advocate for DOGE. His announcement comes on the heels of his legislative push to dramatically cut federal budget deficits.
In remarks made during a recent meeting with Donald Trump’s Cabinet, Musk reflected on the achievements of DOGE thus far, claiming it has “saved $160 billion, but who’s counting?” That claim has set off furious, passionate debate among technical experts. They think the real savings are likely to be far less than what Musk has claimed. Last fall, Musk had emphasized an ambitious goal: to cut “at least $2 trillion” from the federal budget through the implementation of DOGE.
During the meeting, Trump expressed optimism about budget cuts, stating, “I think if we try for $2 trillion, we’ve got a good shot at getting 1,” indicating a more cautious expectation of achieving a trillion-dollar reduction. The interaction concluded with applause from Trump’s Cabinet secretaries and others present, signaling their support for Musk’s vision.
In the time since, Musk has signaled that he plans to reduce his commitment to DOGE. This change comes after a report from The New York Post a few weeks ago that he was no longer operating out of the West Wing. This out-of-the-blue creation is a notable reversal from Musk’s previous position. He’s pushing the DOGE brand as a revolutionary financial instrument.
Despite his planned reduction in hours, Musk reiterated his willingness to continue working on DOGE “for as long as Donald Trump would like him to do so, and as long as it’s useful.” He underscored the importance of the project, stating, “A tremendous amount has been accomplished in the first 100 days.”
Skepticism has been the name of the game when it comes to the big numbers tied to DOGE’s influence. In an interview with Axios on HBO in January, Musk dismissed the $160 billion estimate, calling it the “best-case outcome.” Since then, analysts have questioned the feasibility of these claims and the validity of their calculations. They model both the technological advancements and financial impact at much lower levels than Musk’s estimates would allow.
As he prepares for a new phase in his involvement with DOGE, Musk remains committed to its overarching goal: reducing federal expenditure significantly. As with any cryptocurrency, the future of DOGE rests on its ability to deliver on big promises. It needs to balance the accounting bureaucracy of government budgets with the harshness of economic realities.
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