Russia Uses Kremlin-Backed Stablecoin to Evade US Sanctions

A Russian digital payments network tied to state banks has processed more than $6bn through its stablecoin A7A5 since August, despite new ￰0￱ coin sits at the center of A7, a payment system designed to bypass Western financial ￰1￱ Reissue to Evade Controls Blockchain records show that over 80% of A7A5 tokens were destroyed and reissued in new wallets after sanctions hit affiliated ￰2￱ move effectively severed links between frozen assets and new tokens, allowing continued transactions across A7’s network. State-Backed Structure The system is supported by Promsvyazbank, a state lender under Western sanctions, and VEB, Russia’s development ￰3￱ issuer, Old Vector, is registered in Kyrgyzstan and claims each token is backed by a ￰4￱ regulators have now classified A7A5 as a digital financial asset eligible for trade ￰5￱ Expansion A7’s head, businessman Ilan Șor, has said the platform is growing internationally to support Russian ￰6￱ view the network as a key test of Moscow’s strategy to build independent payment infrastructure outside Western oversight.