US payment system in crisis as Elon Musk considers involvement. The US payment system is facing uncertainty after Elon Musk expressed interest in taking control of it. No clear plans have been announced, but experts warn that a private takeover could lead to financial instability.
A recent request from ADVOCAP, a social-services provider in Wisconsin, highlights the issue. Director April Mullins-Datko requested $250,000 to pay staff salaries and expenses connected with federal Head Start programme. However, the delay has sparked concerns among recipients of government assistance.
The US payment system has seen rapid spending since previous administrations, raising concerns about its sustainability. Some experts warn that a private takeover could set new, dangerous precedents for the American presidency. The situation is closely watched by lawmakers and policymakers.
Source: https://www.economist.com/united-states/2025/02/09/what-is-elon-musk-getting-up-to-with-americas-payment-system