The most surprising and most consequential event of the President Trump sequel has been the USAID scandal. No one thought that part of his revenge tour would be a direct assault on one of the main centers of the foreign policy hive. Until now, few people had any knowledge of this entity. Now it is in the center of the news because Trump has shut it down and put Musk and his whiz kids to the task of auditing the organization while the staff paces outside in the streets.

The United States Agency for International Development (USAID) was sort of created by Congress in 1961 as a way to regulate foreign aid. Congress did not actually create an organization to do this. It directed the White House to create an organization, which is how the independent, not-for-profit entity called USAID came into existence and how it has operated ever since. It gets money through the State Department for its various programs, but it also raises money on its own.

To this point, there has been no oversight of USAID. It has been free, for example, to give money to George Soros organizations that do things like back candidates for state prosecutor in the United States. That seems like an odd use of foreign aid, but it really is the tip of the iceberg, which is why Trump is closing it down. That lack of oversight plus decades of existence created an organization that was operating like a government outside the government that financed it.

Of course, much of its activity was aimed at foreign governments. USAID backed the failed color revolution in Georgia last year. It was through the many local operations it supported that it was able to get people into the streets. The reason they did this is the Georgia parliament passed a law banning foreign money in politics. Georgia did not want to be the next Ukraine. The 2005 Orange revolution in Ukraine and the 2014 Maiden coup in 2014 were both underwritten by USAID.

It is why in the Biden years people started tracking the whereabouts of Samantha Power, the then head of USAID. Wherever she turned up, say Hungary before its elections, bad things happened for the local patriots. If you look up the career of Power, it reads like a road map to a position in permanent Washington, but also as a skeleton key for how the deep state operates. The people who actually run things jump from one node to another inside an informal network.

Powers was not running USAID in the Biden years because she brought an expertise in running a large enterprise. She got the gig because she was a trusted member of this informal group that runs foreign policy. She had been at the right stops at the right nodes and been vetted by the most trusted people in the system. She was plugged into the hive mind of this system. Its thoughts were her thoughts. Therefore, she would run this $50 billion dollar entity according to its wishes.

This is what the normies on Twitter fail to grasp. They think this about the money given to characters like Bill Kristol through one of his operations called Defending Democracy Together. Normie thinks in terms of money because he thinks in terms of the stuff he can buy with money. People like Bill Kristol think about the ways they can advance their people’s agenda with that money. As you would expect, the neocons are dug in like ticks in the network supported by USAID.

There is another aspect of the USAID scandal. One of the organizations it funds is called National Endowment for Democracy, which like USAID is an independent not-for-profit that was created by the National Security Decision Directive 77, signed by Ronald Reagan in 1981. The alleged purpose is to spread democracy, but in reality, it is just another wealthy node in the informal network of formal and informal nodes that make up the shadow government.

Half of the budget of NED is allocated to the American Center for International Labor Solidarity (AFL–CIO), the Center for International Private Enterprise (Chamber of Commerce), the National Democratic Institute for International Affairs (Democratic Party), and the International Republican Institute (Republican Party). If you are curious as to why Joni Ernst tried to block Pete Hegseth’s nomination, check out the board of the International Republican Institute.

There you see how this thicket of not-for-profits and quasi-government institutions not only control foreign policy, but domestic policy. Hundreds of billions flow out of the Treasury through the budgets of the government agencies into this massive ecosystem that uses that money to control domestic politics. If you want to know why voting has had no bearing on public policy for decades, there is the answer. What matters to the politicians is this massive ecosystem, not your vote.

This is why the elected officials in Washington have been relatively quiet about what is happening not far from their offices. The party sent out some extras and understudies to perform in front of the USAID building, but otherwise they have remained quiet because they imagine Musk digging through the files, seeing things that they would prefer remain out of the public eye. USAID is just one problem. The DOGE team is analyzing every penny going out the door at Treasury right now.

It is also why the activists are going crazy over this. Most of them had no idea that their paycheck was coming from the government. They got grants and jobs at not-for-profits with important sounding names and “independent media outlets” run by people “passionate for the cause.” It turns out that most of it was underwritten by operations like USAID, which used government grants and corporate donations to control this vast ecosystem of radical activism.

When Trump halted all funding payments from USAID, for example, ninety percent of “independent media” in Ukraine had to close. Most of the pro-Ukraine accounts on Twitter suddenly fell silent. This is just one example, but it points to the enormity of the corruption centered in these quasi-government organizations. Much of what has been presented to the public as “democratic politics” has been theater staged by this swarm of not-for-profits and non-government-organizations.

One of the least surprising aspects of this is the realization that the people endlessly yelping about “our democracy” have been part of a system that works to prevent the will of the people. Similarly, it is no surprise that the lunatics screaming about fascism in the streets were underwritten by a network of organizations funding by the government and corporate donors. USAID was big into “gender” politics, for example. It was all a show, but also a massive fraud on the people.

Time will tell if DOGE is able to dismember this network. It appears to be a top priority for Trump, owing to the fact that it was this system that derailed his first term and nearly got him killed. At the same time, a lot of mortgage payments and ideological projects rely on that system. There will be a counterattack. The glimmer of hope here is that the oligarchs are backing the war on the blob. The blob controls billions, but the oligarchs control trillions and now they control the blob’s billions.

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