Elon Musk has sparked controversy by suggesting the elimination of the Consumer Financial Protection Bureau (CFPB), arguing that its functions overlap with other agencies like the Securities and Exchange Commission (SEC). This proposal is part of a broader initiative led by Musk and Vivek Ramaswamy under the newly created Department of Government Efficiency (DOGE). This department, backed by the Trump administration, aims to streamline federal spending and improve efficiency in government operations.

Musk and supporters of the initiative claim that merging or eliminating overlapping regulatory bodies could reduce costs and enhance functionality. Critics, however, argue that dismantling the CFPB could leave consumers vulnerable, as the bureau plays a vital role in protecting them from financial misconduct.

The CFPB, funded by the Federal Reserve with an annual budget of approximately $800 million, has been pivotal in enforcing regulations against predatory lending and safeguarding consumer rights. Its potential dissolution has raised concerns about accountability and oversight within the financial sector.