This story was originally published byProPublica.
ProPublica is a Pulitzer Prize-winning investigative newsroom.
Blockchain advocates argue that the technology is valuable on its own for such purposes.
President Trump Speaks At The White House Digital Assets Summit alongside Crypto Czar David Sachs.© Chris Kleponis/CNP/Bloomberg via Getty Images
But the primary use of blockchain, according to experts, is for crypto transactions.
I dont see any way this will help anything.
The blockchain idea is being pushed, a HUD official told colleagues, by Irving Dennis.
(Bitcoinplunged $5,000within an hour of the news of the reserves opening on Thursday.)
Trump himself hassignificant financial interestsin crypto.
On Friday, the White House is scheduled to host a crypto summit with leading figures from the industry.
Dennis and HUD spokesperson Kasey Lovett both denied the accounts of their colleagues.
The department has no plans for blockchain or stablecoin, Lovett said.
Education is not implementation.
Robert Judson, the EY executive involved in the conversations, confirmed that they took place.
Judson told ProPublica he would seek EYs approval for a full interview, then didnt call back.
The White House, EY and Musk did not respond to requests for comment.
HUD officials held at least two meetings about the blockchain proposal last month.
It was the CFOs office that called for the meeting, one person told ProPublica.
Stablecoins are backed by reserves including traditional currency, commodities and Treasury securities.
That is supposed to ensure that their value unlike that of, say, Bitcoin doesnt fluctuate.
However, onseveral high-profile occasions, the value of stablecoins has done just that.
The need for the project was not well articulated, one attendee later wrote in meeting notes.
HUD has no difficulty tracking grant spending, the memo contended, making the new technology unnecessary.
Incorporating it would be time-consuming, complicated and require extensive training.
CPD officials continued to raise concerns in a follow-up meeting, a recording of which was reviewed by ProPublica.
(Judson did not attend this one.)
One official asked why the agency was considering the project.
Because its sexy, someone replied.
But some signaled that it would.
it’s possible for you to do it with what would be attached to a stable currency.
It would simulate the dollar.
A finance official suggested the idea could be applied more broadly across HUD.
We are looking at this for the entire enterprise.
We just wanted to start in CPD, he said.
That office serves the millions of people who live in public and federally subsidized housing.
Some crypto experts were dubious.
It is absolutely wild that anyone with any sense would consider this.
He expressed greatest concern about the notion that the proposal could expand to other parts of the agency.
Its hard to imagine that wouldnt be catastrophic.
Blockchain technology has been around for 15 years.
No one wants to use it.
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New Crypto Platform Seeks to Tokenize Time Itself
Time?
Put it on the blockchain.
