The newly created United States website Ministry of Government Effectivenessled by technocrat Elon Musk, began displaying a dogecoin (DOGE) token logo on Tuesday, although it has no direct connection to the world’s largest memecoin.
“To restore the competence and effectiveness of our federal government, my administration will create the all-new Department of Government Efficiency,” Trump said during his speech after the swearing-in.
A decree of the creation of the department was published shortly afterwards. The ministry has no formal authority to enforce its recommendations. Musk has often mentioned dogecoin in posts on X, the social media platform he purchased in 2022.
Dogecoin and parody DOGE tokens showed mixed moves alongside a broader market decline, bucking a historical trend of tokens rising on such mentions.
DOGE fell as much as 5% in the last 24 hours, before reversing its losses, following a nearly 5% drop in the general market. CoinDesk20 (CD20) and a 3% drop in bitcoin (BTC). A parody token, for its part, is up 6% with most of the gains made during the European morning.
Musk first raised the idea of DOGE in October as a non-governmental agency tasked with making government spending more efficient. This has since fueled the expectation among traders that there may be more discussions about “DOGE” in mainstream media and retail trading circles, fueling attention and interest in dogecoin, as the shows analysis from CoinDesk. noted in mid-October.
DOGE is not popular in government districts and faces prosecution. The National Security Advisors, a legal advocacy group, says the committee violates the Federal Advisory Committee Act of 1972, which requires advisory groups to operate transparently.
He says the ministry has an unclear legal structure. Public Citizen, another watchdog, is demanding more details about how the group operates.
UPDATE (January 21, 12:40 UTC): Rewrote first paragraph to mention logo, moved token movements to fourth paragraph, added Musk dogecoin tweets to third.