Coinbase CEO Backs DOGE – A Catalyst For Economic Freedom In The US
According to Coinbase CEO Brian Armstrong, the planned Department of Government Efficiency, or DOGE, offers incoming President Donald Trump a once-in-a-lifetime opportunity to fix the country’s bloated bureaucracy.
Armstrong shared his views via a Twitter/X post, saying that cutting the government’s size can boost economic freedom.
Boosting government efficiency and cutting “bureaucratic fat” have been part of Trump’s campaign battlecries. During the sorties, the then-Republican candidate teased that X and Tesla’s Elon Musk would head the new department.
Will DOGE Improve The Government’s Efficiency?
In a Twitter post shared on November 17th, the Coinbase CEO joined the growing chorus supporting the creation of DOGE. The new office will give Trump the rare opportunity to address a bloated bureaucracy, which can boost economic freedom.
Armstrong also explored a few suggestions that the new agency may consider. For example, he suggested an amendment calling for a cap on government spending at 10% of the GDP. He shared that America’s founding fathers were geniuses but admitted that governments grow over time and end up with plenty of promises for their people.
. @DOGE is a once in a lifetime opportunity to increase economic freedom in the U.S. and cut the size of government back to health.
The founding fathers were geniuses but (with humility) may have missed the adverse incentives which grow the size of democratic government over…
— Brian Armstrong (@brian_armstrong) November 17, 2024
To address this, Armstrong suggests maximizing incentives, like punishing representatives for budget deficits by preventing them from running in an election. Also, the government can set up a sovereign wealth fund where every US citizen gets a share and offers dividends if a budget surplus exists.
Elon Musk And Vivek Ramaswamy Lead DOGE
The establishment of the DOGE has been getting a lot of buzz even before the November 5th US elections. Then, the candidate, Donald Trump, openly criticized the federal government for its bloated bureaucracy and mindless spending. He also teased the possibility of tapping Elon Musk to lead the new agency.
As of today, the market cap of cryptocurrencies stood at $3.03 trillion. Chart: TradingView
Immediately a week after his election, the incoming president formally announced the creation of DOGE and announced Elon Musk and Vivek Ramaswamy to head the agency. Trump has already outlined the possible roles of the new agency, including cutting excess regulations, restructuring agencies, and reducing expenses.
DOGE Announcement Gives Mixed Results
Although the DOGE announcement was widely expected, its creation gets mixed results and opinions. For a start, DOGE isn’t an official department, which puts into question the type of authority and roles of Musk and Ramaswamy. Under federal laws, Congress controls spending.
There are also winners in Trump’s recent announcement of this agency. In addition to Musk getting a more active role under Trump, the cryptocurrency market, mainly the meme coin Doge, receives full benefits.
The popular meme coin has surged in value days after Trump’s election. With DOGE and Musk getting a lot of media coverage, many analysts expect Dogecoin to hit $0.50 by January 2025.
Featured image from DALL-E, chart from TradingView
