Skeleton Test 2

The most notable figure in Donald Trump's second administration is undoubtedly Elon Musk, the CEO of Tesla. Musk is leading the 'Department of Government Efficiency (DOGE)' in the Trump administration, focusing on improving government operational efficiency and cutting federal budgets.

Musk's Department of Government Efficiency has garnered significant attention from the virtual asset (cryptocurrency) industry since its inception. The abbreviation 'DOGE' for the department reminds people of the popular meme coin 'Dogecoin (DOGE),' which Musk has long supported. In fact, Dogecoin rose by more than 16% recently after the Dogecoin logo was posted on the department's website.

The phenomenon of Dogecoin prices moving in response to Musk's actions has been ongoing for quite some time. Known as the 'Doge Father' and a prominent pro-cryptocurrency figure in the Trump administration, Musk has a long-standing connection with Dogecoin.

"DOGE, My Favorite Coin"... Self-proclaimed 'Doge Father' Musk

Musk first mentioned Dogecoin in April 2019. At the time, he stated on his X (formerly Twitter), "Dogecoin is my favorite cryptocurrency," adding, "It's really cool." Since then, he has mentioned Dogecoin multiple times on X. According to Decrypt, Dogecoin search volumes surged whenever Musk tweeted about it between 2019 and 2020.

On May 7, 2021 (local time), Dogecoin soared to an all-time high following news of Musk's appearance on SNL. Before his SNL appearance, he posted a composite photo with the Dogecoin mascot on his X, hinting at a mention of Dogecoin, and introduced himself as the Doge Father on the SNL broadcast aired on the 8th.

However, contrary to expectations, Dogecoin plummeted by nearly 30% after Musk's SNL broadcast. At the time, CNN speculated that the crash was due to Musk's remarks that shattered investors' expectations. Investors hoped Musk would express support for Dogecoin on SNL, but he called Dogecoin a 'hustle.' Some analysts also suggested that the excessive mockery of Dogecoin on the show contributed to the price drop.

In the aftermath of the SNL fallout, on May 10, 2021, Musk announced a collaboration between SpaceX and Dogecoin. He planned a lunar satellite mission called 'Doge-1,' to be paid entirely in Dogecoin. Following the announcement, Dogecoin surged by about 20%.

In December 2021, Dogecoin was allowed as a payment method for some Tesla products. This decision led to a nearly 15% increase in Dogecoin. At the time, Bitcoin was excluded from Tesla's payment methods due to high carbon emissions during mining, drawing more attention.

Additionally, in May 2022, Musk announced that SpaceX's internet service 'Starlink' would consider allowing subscription payments in Dogecoin in the future, continuing his support for Dogecoin. Following his remarks, Dogecoin, which had been in a bearish trend, rose by about 10%.

Doge Father Becomes a 'Power Player' in the Trump Administration... Focus on Pro-Crypto Moves

Musk, who has consistently shown genuine interest in Dogecoin, has now become a power player in the Trump administration. President Trump renamed the 'U.S. Digital Service,' a presidential agency, to the 'U.S. Doge (DOGE) Service' through an executive order on his first day in office and installed DOGE in the Oval Office.

Currently, Musk's DOGE is exerting more influence than expected. Since the launch of the Trump 2nd administration, it has already reviewed key data from several federal agencies and investigated budget expenditures, leading to significant personnel and spending cuts.

According to the New York Times (NYT) on the 1st (local time), DOGE and its associates have gained access to the Treasury's payment system, which controls the annual $5 trillion federal budget expenditure. The U.S. Treasury payment system handles information for millions of Americans receiving pensions, tax refunds, and salaries from the federal government, and gaining access to it is considered a significant power.

Some are concerned that Musk might overstep his authority, but President Trump defended Musk at a White House press conference, saying, "I think Elon is doing a good job," and assured that Musk would not unilaterally halt government budgets without White House approval.

There is growing interest in what actions Musk, who has gained wings through Trump, will take in the U.S. government. Recently, Bloomberg reported, citing sources, that DOGE is currently exploring ways to use blockchain to improve U.S. government efficiency. It is known that they have met with representatives of several public blockchains to evaluate their technologies.

Of course, it is not yet known which blockchain will be used, and there is a possibility that the plan may be scrapped. However, Bloomberg raised expectations by stating that if DOGE pursues the plan, "it could become the largest government project ever seen in the U.S."

The impact on the virtual asset market is also drawing attention. Kim Dong-hyuk, a researcher at Dispread, said, "If Musk's DOGE introduces public blockchain into government operations, the related cryptocurrencies are expected to benefit greatly," but added, "However, the actual possibility of adoption may be low, and there is a higher likelihood that a consortium blockchain will be applied."