Elon Musk and his entourage of young interns are targeting US federal agencies like a swarm of flies. Following a tense weekend where Musk gained access to the Treasury's servers — potentially obtaining sensitive information related to Social Security, Medicare, and student loan payments — reports emerged that he has "read only access" to this confidential data. This means that, for the time being, he cannot interfere with any ongoing payments; however, his team now has access to a vast amount of personal information held by the Treasury, raising the specter of legal challenges for unauthorized disclosure. Musk claims this is just the beginning. He is indicating plans to transition the US Treasury to a blockchain system. “Career Treasury officials are breaking the law every hour of every day by approving fraudulent payments that don’t adhere to the funding laws enacted by Congress, ” he tweeted on Monday. While Musk has not provided any supporting evidence for his assertion, when a supporter asked if the Treasury should be put on the blockchain to prevent such occurrences, Musk replied enthusiastically with a “yes!” If you're uncertain about what this would mean in practice, you're not alone. Forbes has reported that Musk has proposed using blockchain to protect data, monitor federal spending, execute payments for the federal government, and manage agency facilities — tasks that current systems already accomplish using standard payment methods in dollars. Musk has yet to clarify what his vague blockchain ideas entail, other than claiming they will "save us money. " The world's richest man may be making a case against his own plans. Musk's announcement regarding the Treasury was quickly followed by a joint lawsuit from various activist groups and unions, causing chaos in the crypto market. Following the lawsuit, Musk's favorite crypto, Dogecoin, plummeted by 15%.

Bitcoin fell by 2. 5% — reaching a three-week low — and Ethereum dropped by 18%, marking its most significant decline since November, likely impacted by Trump’s ongoing tariff disputes. These declines occurred within an increasingly volatile crypto market, as governmental actions, such as Trump’s executive orders and state lawmakers' initiatives to develop "Bitcoin Strategic Reserves, " create ripples in the already unstable digital currency landscape. Essentially, cryptocurrency is a highly reactive asset, which is not a solid foundation for a robust economy like that of the US. Critics have long argued that transferring Treasury assets to blockchain could lead to higher inflation, slower transaction times, and soaring cryptocurrency values. While some of this may benefit wealthy blockchain investors like Musk, it offers little advantage to American taxpayers. Additionally, many experts are concerned that the speculative market endorsed by figures like Musk and Trump is driving cryptocurrencies toward a precarious bubble that could burst at any moment. They also warn that aggressively pursuing blockchain as a currency undermines the US dollar — a currency the US has established as the global standard over decades — potentially destabilizing the actual economy while the imaginary one gains momentum. With all this in mind, Musk's groundbreaking plans for the Treasury appear less about ensuring "transparency and accountability" and more like yet another opportunity for wealthy individuals to benefit at the expense of American taxpayers. At least the transactions could be verified on the blockchain. For more on the blockchain: Blockchains Were Intended to Be "Unhackable. " Now They're Experiencing Hacks.