Regulatory News ⚖️Elon Musk’s DOGE Initiative Gathers Momentum Ahead of Trump’s Inauguration

Elon Musk’s DOGE Initiative Gathers Momentum Ahead of Trump’s Inauguration

YEREVAN (CoinChapter.com) — Elon Musk’s Department of Government Efficiency (DOGE) is gaining traction as key figures lead recruitment efforts. Steve Davis, president of Boring Co., and Michael Kratsios, former US Chief Technology Officer, are spearheading the hiring process. According to sources, they are focused on attracting software engineers with artificial intelligence expertise. So far, 10 individuals have been hired to join the DOGE team.

DOGE, introduced by Musk during Trump’s campaign, aims to reduce government spending and scale back federal operations. With support from President-elect Donald Trump and Vivek Ramaswamy, the initiative operates out of SpaceX-leased office space in Washington, D.C., four blocks from the White House.

Recently, Elon Musk and Vivek Ramaswamy spoke to the House GOP.
Recently, Elon Musk and Vivek Ramaswamy spoke to the House GOP.

DOGE’s Funding and Structure Under Discussion

DOGE’s organizational framework remains under consideration. Musk and Ramaswamy are exploring the possibility of establishing DOGE as a 501(c)(3) entity. This setup could either take the form of a public charity, which would require diverse donor support, or a private foundation, which comes with additional restrictions.

An alternative under review is forming DOGE as a federal advisory committee through an executive order by Trump. However, such committees require compliance with ethics and transparency rules, and they rely on taxpayer funding. This approach could contradict DOGE’s primary goal of cost reduction.

The funding source for DOGE staff salaries has not been disclosed. However, the use of SpaceX offices suggests that Musk is contributing personally to some operational costs.

DOGE Targets $2 Trillion in Spending Cuts

The DOGE initiative aims to slash up to $2 trillion in federal spending, though it is unclear whether this figure applies annually or over a decade. Achieving such a reduction would likely require deep cuts to major programs, including Social Security and Medicare, which could provoke significant policy debates.

The House of Representatives has responded to DOGE’s objectives by forming the Subcommittee on Delivering on Government Efficiency, led by Representative Marjorie Taylor Greene. This subcommittee plans to work closely with DOGE to align federal operations with its cost-cutting mission.

Musk’s Key Allies and Their Roles in DOGE

Steve Davis, a longtime Musk collaborator and former SpaceX engineer, has played a critical role in DOGE’s development. Davis previously led cost-cutting efforts during Musk’s acquisition of Twitter. Meanwhile, Kratsios, now managing director at Scale AI, brings significant experience from his tenure in the Trump administration.

DOGE also reflects Musk’s increasing political influence. Musk contributed $238.5 million to a pro-Trump political action committee, making him the largest single donor of the recent election cycle. This relationship has enabled DOGE to secure support from Trump and his allies.

Elon Musk
America PAC
Federal Election Commission
political donations
campaign finance
Space Exploration Technologies Corp
Elon Musk’s Contributions to America PAC. Source: Federal Election Commission

DOGE’s Political Impact and Next Steps

The DOGE initiative has already made waves in Washington. Musk and Ramaswamy have used X, formerly Twitter, to advocate for aggressive budget cuts. Their posts have influenced debates on Capitol Hill, including discussions on a stopgap funding bill.

DOGE
Pentagon audit
Elon Musk
government spending
$824 billion budget
audit failure
Musk Highlights Pentagon Audit Issues. Source: @ElonMusk

As Trump’s inauguration approaches, DOGE continues to build momentum. With its focus on federal spending and operational efficiency, the initiative is poised to play a significant role in shaping the next administration’s policies.

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