A newly surfaced proposal concerning blockchain is now circulating within the US State Department hinting at a potential shift in how the United States Agency for International Development (USAID) operates.
The proposal outlines that all aid distributions could be tracked using blockchain to “ensure accountability,” “reduce inefficiencies,” and allow implementing partners “greater flexibility.”
Meanwhile, USAID, the US agency responsible for administering foreign development assistance, has faced criticism in recent years over perceived inefficiencies and spending priorities.
A better approach would be to foster peace and stability in regions critical to U.S. interests, catalyze economic opportunities that support American businesses and consumers, and mitigate global threats such as pandemic diseases.
Alongside blockchain adoption, the document proposes renaming USAID to the “U.S. Agency for International Humanitarian Assistance (IHA)” and moving the agency under the direct control of the State Department.
The recommendations follow past efforts by the Trump administration to limit USAID funding and staff, moves that were met with legal pushback and public criticism.
While the document reflects a serious policy proposal, it does not yet represent formal government action. The proposal acknowledges that some aspects would require congressional approval and legislative changes.
It is also unclear whether Secretary of State Marco Rubio or other senior officials within the current administration have reviewed or approved the recommendations.
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