FT: $6 Billion in Transactions Passed Through Russian Ruble Stablecoin A7A5 Despite U.S. Sanctions

Ruble-pegged stablecoin A7A5 has processed around $6 billion in transactions over the past two months, even after the U.S. sanctioned organizations linked to the project, Orda.kz reports, citing The Financial Times.

The Kyrgyz-registered crypto exchange Grinex and Old Vector, which issues A7A5, were added to the U.S. Treasury’s sanctions list in mid-August. According to FT, the next day, nearly 80% of all A7A5 tokens were deleted and recreated in another wallet to cut visible ties with Grinex.

A7A5 is backed by ruble deposits held at Promsvyazbank (PSB) — already under Western sanctions — and issued in Kyrgyzstan by Old Vector. Each token equals one ruble and, according to the issuer, represents “the first digital ruble issued under Kyrgyz law and backed by reliable bank deposits.”

U.S. officials believe Grinex was established by the staff of the sanctioned Russian exchange Garantex, which was shut down earlier this year. On August 14, the U.S. also sanctioned companies A7, A71, and A7 Agent, calling A7A5 a tool to bypass financial restrictions.

FT’s analysis shows that on August 15, about 33.8 billion A7A5 tokens (worth roughly $405 million) were erased from two Grinex-linked wallets using a command labeled “destroyBlackFunds.” Equivalent amounts were reissued in a new wallet, breaking traceable links to the old accounts.

Since then, transactions totaling $6.1 billion have passed through the new wallet, mainly during Moscow business hours.

FT also noted that an A7A5 chatbot offers users the option to buy tokens for cash through Grinex’s over-the-counter service at the Federation Tower in Moscow City — the same building where Garantex once operated.

Grinex denies any connection.