Elon Musk Reveals Shocking Details About Government Spending
During a conversation with Texas Senator Ted Cruz on his podcast, billionaire entrepreneur Elon Musk disclosed that the U.S. government has been using so-called “magic money computers” to send funds “out of thin air,” without Congress being properly informed of these transactions.
According to Musk, there are currently 14 such systems across various federal departments. These machines, he said, are capable of moving massive sums of money without the appropriate paperwork or traceable justification.
Cruz remarked that this kind of untracked activity could total in the “trillions,” while Musk claimed that in some agencies where these systems operate, the reported budgets given to lawmakers could be off by as much as 5%.
“They’re mostly at Treasury,” Musk explained, referencing his discovery through the Department of Government Efficiency, or DOGE. “But there’s some at [Health and Human Services], there’s one or two at State, there’s some at [the Department of Defense].”
“I think we’ve found now 14 magic money computers. They just send money out of nothing,” Musk told Cruz directly.
Expanding on DOGE’s findings, Musk said the Treasury and other agencies can’t provide Congress with a complete picture of federal spending due to these systems.
“You may think that government computers all communicate with each other, synchronize, and accurately calculate where funds are going, making the numbers you see as a senator the real ones. They’re not,” he said.
When Cruz pressed for details—“How does it work?”—Musk simply responded: “It just issues payments!”
Modern monetary theory states that because the federal government controls the issuance of U.S. dollars, it can essentially create money to meet its obligations.
Meanwhile, Vice President J.D. Vance recently pushed back against rumors that Musk was preparing to exit his role in the administration or that former President Trump was dissatisfied with his work at DOGE.
“First of all, that report I saw was total fake news,” Vance told Fox News, addressing a Politico story that claimed Trump had said Musk would soon be “stepping back.”
Vance clarified that Musk was brought in as a special advisor for a six-month initiative aimed at cutting red tape and increasing government efficiency. His term, which spans roughly 130 days—the standard limit for such advisory roles—is expected to conclude in late May or early June. Still, Vance emphasized that Musk would remain an informal advisor even after his official role ends.
“We said that’s going to take about six months, and that’s what Elon signed up for, but of course, he’s going to continue to be an advisor,” the vice president said, affirming that the DOGE mission will proceed beyond Musk’s tenure.
“The work of DOGE is not even close to done, the work of Elon is not even close to done,” Vance added.
He praised Musk for addressing misuse in Social Security and targeting “fraudulent grants” across federal agencies.
“Elon will continue to be a friend and counselor to the president and myself,” Vance said. “DOGE has a lot of work to do, and that work is going to continue after Elon leaves.”
Since launching reforms that challenge federal programs historically backed by Democrats, Musk has drawn significant backlash from the left. His company Tesla has even become the focus of activist protests, with some demonstrators vandalizing cars.
This growing criticism has caused concern among Republicans, with some urging Trump to reconsider his ties with Musk.
However, sources who spoke to DailyMail.com dismissed any reports of tension between Musk and the former president as “fake news” and “garbage.”
Musk himself echoed that sentiment by retweeting a statement from the press secretary, adding: “Yeah, fake news.”