The US government may be preparing to overhaul the United States Agency for International Development (USAID), with blockchain technology set to play a pivotal role.
A leaked internal memo has revealed that the Trump administration is evaluating a plan to reshape USAID’s structure, align it more closely with the State Department, and introduce emerging technologies to improve efficiency.
Politico first reported the story.
Blockchain in US foreign aid?
According to the memo, one proposed change includes rebranding the agency as the US International Humanitarian Assistance body.
This would come alongside a shift in how aid is managed and tracked, using blockchain to improve transparency and oversight in the distribution of funds.
The document suggests the new approach would prioritize outcomes and real-world impact rather than simply ticking off program activities.
Although the memo stops short of detailing how blockchain would be applied, early speculation points to its use in tracking the flow of aid and possibly integrating stablecoins for direct, traceable financial assistance.
Blockchain’s ability to offer secure, transparent, and tamper-proof records makes it a potential game-changer for government aid programs often criticized for inefficiencies and mismanagement.
The proposed restructure follows dramatic cuts to the agency. The Department of Government Efficiency (DOGE) recently placed thousands of USAID staff on administrative leave and slashed the workforce from 10,000 to 300.
Payments to international partners were also frozen, sparking legal action that temporarily halted further disruption. Despite that, the leaked memo indicates that a wider transformation may still be on the table.
Trump’s administration embraces blockchain tech
This move reflects a broader interest in blockchain at the federal level.
Earlier this year, reports emerged that DOGE was exploring how blockchain can improve public sector operations—particularly in areas like budgeting, data security, payment systems, and property management.
Analysts say this shift could bring real-time visibility into how taxpayer dollars are spent, reduce waste, and set new standards for government transparency.
If implemented, the changes could mark a turning point in the US’s approach to foreign aid and digital innovation in governance.
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