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- Elon Musk reveals 14 magic money computers in federal agencies.
- Government waste exposed excess subscriptions, payments, and mismanagement.
- Bitcoin is proposed as a fix for financial inefficiencies and transparency.
Elon Musk has claimed that there is gross mismanagement of funds in the US government. During the episode of the show Verdict with Ted Cruz with Texas Senator Ted Cruz, Musk stated that there are 14 so-called ‘magic money computers’ in the federal government.
These systems reported in such departments as Treasury, Defense, Health and Human Services can create money as if they produce it themselves. Musk continued and noted how companies might use many of them with no clear supervision or even coordination between all these computers used, making financial reporting vary highly.
Musk added that people have this mentality that all governmental computers are well connect and precise as well as provide the exact data require. That specified that the numbers presented to senators are inaccurate to an extent of 5% to 10%. That is why I refer to these as the “magic money computers.”
Limited Supply vs Fiat Inflation
The situation was comment on by Jameson Lopp, the Chief Security Officer at Casa, the Bitcoin custody company, and he said in a video comment, “Bitcoin fixes this.” Some of the people in support of the digital currency for a long time have pointed to this as one of the benefits of the digital currency. Currently, the number of circulating Bitcoins is limited to 21 million, whereas fiat currencies can be easily devalue due to increased printing.
Source: Jameson Lopp
Elon Musk Spending Revelations
The promoters of the crypto-currency have pointed at digital money as a means of affording people a hedge compared to the devaluing of fiat money. Unlike traditional currencies that can be print and where there is no control over them, Bitcoin has a limited supply.
Musk also emphasised that he found excessive spending by the government during his investigations. Some federal departments, for example, had more media subscriptions, software licenses, and credit cards than they had employees. Further, some of them had subscriptions and cards more than the number of staff members in their respective organisations.
Musk attributed 80% of these matters being due to some incompetency and not out of any ill will. He gave some instances of wrong payments being made and no attempts made to recover the amount paid. The revelations have encouraged accountability and fiscal responsibility of the government departments. Some analysts have pointed out that there are many areas of waste and ineffectiveness that require more systemic changes, pointed out by Musk.
