Business
Elon Musk Exposes the System Keeping Government Fraud Alive
The only way to reconcile the databases and get rid of waste and fraud is to actually look at the computers and see what’s going on.
Elon Musk just pulled back the curtain on what’s really fueling government waste and fraud. Speaking with Senator Ted Cruz, he revealed there are at least 14 “magic money computers” that can “send money out of nothing,” meaning these government systems are issuing trillions in payments with little oversight or real-time accountability.
Musk explained that these computers don’t operate in a way where they “talk to each other.” Instead, Musk explained they function in a way that allows money to move through government agencies unchecked, sometimes in ways that don’t align with official records.
The numbers lawmakers see aren’t always accurate, with government books potentially off by 5% to 10%. That could mean up to hundreds of billions in taxpayer dollars are misallocated or disappearing, while the actual financial activity remains hidden deep inside these systems.
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“So you may think that the government computers all talk to each other. They synchronize, they add up what funds are going somewhere, and it’s coherent that the numbers, for example, that you’re presented as a senator are actually the real numbers. They’re not,” Musk explained.
“They’re not totally wrong,” he continued. “They’re probably off by 5% or 10% in some cases. So I call it Magic Money Computer. Any computer which can just make money out of thin air. That’s Magic Money.”
“So how does that work?” Ted Cruz asked.
“It just issues payments,” Musk answered. “I think we found now 14 magic money computers. They just send money out of nothing.”
This raises a critical question: If the government’s books are off by 5% to 10% in some cases, leaving up to hundreds of billions of dollars unaccounted for, where is all that money actually going?
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Image: Shutterstock / Deacons docs
On a related note, Elon Musk has previously called government-funded NGOs one of the biggest scams in history, saying they take hundreds of billions in taxpayer dollars with little accountability, leading to massive waste and misallocation.
He estimates that up to $700 billion per year is funneled through these so-called nonprofits, many of which he claims are nothing more than money laundering operations disguised as charity.
Instead of focusing on bureaucratic structures, Musk believes the key to understanding waste, fraud, and financial manipulation is to go straight to the source: the computers handling the payments.
Musk previously said something to the effect, “I don’t want a job in Washington. All I want is the login for every computer.”
Musk explained that policy decisions eventually filter down to computers for implementation.
The problem? These systems are buried under layers of bureaucracy, making it nearly impossible for lawmakers—or even agency heads—to track where the money is actually going in real-time.
He explained, “The government is run by computers. So you’ve got essentially several hundred computers that effectively run the government. So when somebody, like, even when the President issues an executive order, that’s got to go through a whole bunch of people until ultimately it is implemented at a computer somewhere,” Musk explained.
“And if you want to know what the situation is with the accounting and you’re trying to reconcile accounting and get rid of waste and fraud, you must be able to analyze the computer databases. Otherwise, you can’t figure it out because all you’re doing is asking a human who will then ask another human, ask another human, and finally usually ask some contractor who will ask another contractor to do a query on the computer,” Musk lamented.
“That’s how it actually works,” he stressed. “So it’s many layers deep. So the only way to reconcile the databases and get rid of waste and fraud is to actually look at the computers and see what’s going on. That’s what I sort of cryptically referred to, reprogramming the matrix. You have to understand what’s going on in the computers. You have to reconcile the computer databases in order to identify the waste of fraud.”
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Watch the full conversation below:
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From LifeSiteNews
A new report released by the Bank of Canada proposed a ‘promising architecture well-suited for basic payments’ through the use of a digital dollar, though most Canadians are wary of such an idea.
Canada’s central bank has been studying ways to introduce a central bank digital currency (CBDC) for use for online retailers, according to a new report, despite the fact that recent research suggests Canadians are wary of any type of digital dollar.
In a new 47-page report titled, “A Retail CBDC Design For Basic Payments Feasibility Study,” which was released on June 13, 2025, the Bank of Canada (BOC) identified a “promising architecture well-suited for basic payments” through the use of a digital dollar.
The report reads that CBDCs “can be fast and cheap for basic payments, with high privacy, although some areas such as integration with retail payments systems, performance of auditing and resilience of the core system state require further investigation.”
While the report authors stopped short of fully recommending a CBDC, they noted it is a decision that could happen “outside the scope of this analysis.”
“Our framing highlights other promising architectures for an online retail CBDC, whose analysis we leave as an area for further exploration,” reads the report.
When it comes to a digital Canadian dollar, the Bank of Canada last year found that Canadians are very wary of a government-backed digital currency, concluding that a “significant number” of citizens would resist the implementation of such a system.
Indeed, a 2023 study found that most Canadians, about 85 percent, do not want a digital dollar, as previously reported by LifeSiteNews.
The study found that a “significant number” of Canadians are suspicious of government overreach and would resist any measures by the government or central bank to create digital forms of official money.
The BOC has said that it would continue to look at other countries’ use and development of CBDCs and will work with other “central banks” to improve so-called cross border payments.
Last year, as reported by LifeSiteNews, the BOC has already said that plans to create a digital “dollar,” also known as a central bank digital currency (CBDC), have been shelved.
Digital currencies have been touted as the future by some government officials, but, as LifeSiteNews has reported before, many experts warn that such technology would restrict freedom and could be used as a “control tool” against citizens, similar to China’s pervasive social credit system.
The BOC last August admitted that the creation of a CBDC is not even necessary, as many people rely on cash to pay for things. The bank concluded that the introduction of a digital currency would only be feasible if consumers demanded its release.
Conservative Party leader Pierre Poilievre has promised, should he ever form the government, he would oppose the creation of a digital dollar.
Contrast this to Canada’s current Liberal Prime Minister Mark Carney. He has a history of supporting central bank digital currencies and in 2022 supported “choking off the money” donated to the Freedom Convoy protests against COVID mandates.
From the Canadian Taxpayers Federation
The Canadian Taxpayers Federation is calling on the City of Calgary to scrap the Calgary Arts Development Authority after it spent $65,000 on a telephone line to the Bow River.
“If someone wants to listen to a river, they can go sit next to one, but the City of Calgary should not force taxpayers to pay for this,” said Kris Sims, CTF Alberta Director. “If phoning a river floats your boat, you do you, but don’t force your neighbour to pay for your art choices.”
The City of Calgary spent $65,194 of taxpayers’ money for an art project dubbed “Reconnecting to the Bow” to set up a telephone line so people could call the Bow River and listen to the sound of water.
The project is running between September 2024 and December 2025, according to documents obtained by the CTF.
The art installation is a rerun of a previous version set up back in 2014.
Emails obtained by the CTF show the bureaucrats responsible for the newest version of the project wanted a new local 403 area code phone number instead of an 1-855 number to “give the authority back to the Bow,” because “the original number highlighted a proprietary and commercial relationship with the river.”
Further correspondence obtained by the CTF shows the city did not want its logo included in the displays, stating the “City of Calgary (does NOT want to have its logo on the artworks or advertisements).”
Taxpayers pay about $19 million per year for the Calgary Arts Development Authority. That’s equivalent to the total property tax bill for about 7,000 households.
Calgary bureaucrats also expressed concern the project “may not be received well, perceived as a waste of money or simply foolish.”
“That city hall employee was pointing out the obvious: This is a foolish waste of taxpayers’ money and this slush fund should be scrapped,” said Sims. “Artists should work with willing donors for their projects instead of mooching off city hall and forcing taxpayers to pay for it.”
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