Russian-Linked A7A5 Stablecoin Facilitates Billions of Dollars in Sanctions-Evading Transactions Across Global Markets

[»] Jump to Summary…

Since the February 2022 invasion of Ukraine, Russia has faced sweeping sanctions that cut off the country from the global financial system.

Mastercard and Visa cards issued in Russia stopped working internationally, and Russian banks were removed from SWIFT, limiting cross-border commerce.

Faced with these restrictions, Russia has increasingly leaned on alternative financial tools, including cryptocurrency.

In December 2024, Finance Minister Anton Siluanov endorsed the use of “digital financial assets” and domestically mined Bitcoin (BTC) for foreign trade, describing crypto as “the future” of international payments.

Enter A7A5 and Its Origins

The A7A5 stablecoin launched in February 2025 under Russia-based A7, a company co-owned by Moldovan oligarch Ilan Shor and state-linked Promsvyazbank (PSB).

Shor and PSB operate in strategic sectors like oil, gas, metals, chemicals, and defense.

Initially traded on Moscow exchange Garantex, which was sanctioned and shut down, A7A5 quickly found new homes on Kyrgyzstan-based platforms Grinex, Meer, and Bitpapa.

Despite international sanctions, trading volumes surged in 2025, illustrating the token’s ability to operate in a shadow financial ecosystem.

A Shadow Economy Built on Stablecoins

The rise of A7A5 highlights a shift in crypto usage from niche markets to a parallel, semi-legitimate economic system.

TRM Labs reported that illicit crypto flows reached $158 billion in January 2026, with $39 billion attributed to A7A5 wallets.

Suggested Readings (News continues below)

Former President Joe Biden Makes Direct Call to Russian President Vladimir Putin After Receiving Intelligence Warning About Ukraine Escalation in Washington

Andrew Mountbatten-Windsor Arrested at Norfolk Residence on Suspicion of Misconduct in Public Office While Former Ghislaine Maxwell Associate Remains in Prison in Texas

Swedish Politician Mikael Damberg Compares National Economy to Tottenham Hotspur’s Relegation Struggles in Stockholm

Sir Keir Starmer’s government has appointed Dame Antonia Romeo as the new Cabinet Secretary and head of the civil service, marking the first time a woman has held the country’s most senior civil service role. Her appointment comes after the removal of Sir Chris Wormald, just 14 months into his tenure, and has sparked debate over her previous leadership style and focus on inclusivity initiatives. A Trailblazer With a Controversial Track Record Dame Antonia, 51, previously led the Department for International Trade (DIT), the Ministry of Justice, and the Home Office. During her time at DIT from 2017 to 2021, reports indicate that civil servants were encouraged to engage with inclusivity objectives, including raising awareness of non-binary identities and promoting gender inclusivity in the workplace. One staff member was reportedly tasked with dedicating up to 20 percent of their time to initiatives such as encouraging colleagues to display preferred pronouns, recruiting non-binary staff, and participating in the department’s “gender non-conforming book club.” Members of the club read works like Middlesex, the Pulitzer Prize-winning novel by Jeffrey Eugenides, as well as books about gender transition. Inclusivity Objectives in Annual Reviews According to reports, these inclusivity tasks contributed roughly 5 percent to a civil servant’s annual performance appraisal. Additional expectations reportedly included engaging with the non-binary corporate network and challenging societal norms that reinforce traditional gender roles. A Cabinet Office spokesperson emphasized that the objectives were agreed between employees and their line managers, not directly set by Dame Antonia. “Antonia was not involved in setting these objectives,” the spokesperson said. Political Reactions and Public Debate The appointment has divided opinion. Reform UK spokesman Zia Yusuf criticized the Prime Minister for appointing someone dubbed “the Queen of Woke” to the UK’s most powerful civil service position, calling her “the embodiment of all that’s wrong with The Blob.” Conversely, former Tory chancellor Nadhim Zahawi, now a member of Reform UK, welcomed the appointment, describing Dame Antonia as a “good appointment.” Downing Street also defended the selection, noting that an enhanced due diligence process was carried out before her appointment. Past Allegations and Clearance Dame Antonia previously faced accusations of bullying related to her time as Consul-General in New York in 2017. However, the Cabinet Office cleared her of these allegations. She has spent nearly a decade leading economic, public services, and security departments and is recognized for her record of delivering for the British public. Leadership in a Time of Change Her appointment comes at a time when the civil service is under scrutiny for its role in implementing government policies while navigating cultural and political sensitivities. Supporters point to her experience across multiple departments as evidence of her ability to manage complex operations at the highest level of government. What’s Next? Dame Antonia’s immediate focus will be overseeing the civil service, ensuring effective policy implementation, and maintaining morale within Whitehall. Observers will watch closely to see how she balances her leadership responsibilities with public and political scrutiny over past inclusivity initiatives. Analysts suggest that her tenure could set precedents for how diversity, equity, and inclusion are integrated into senior civil service roles. Summary By GREG HEFFER, POLITICAL CORRESPONDENT Published: 07:08 EST, 20 February 2026 | Updated: 09:01 EST, 20 February 2026 Dame Antonia Romeo has been appointed the UK’s first female Cabinet Secretary, succeeding Sir Chris Wormald. Her tenure at the Department for International Trade drew attention for inclusivity initiatives, including staff participation in a “gender non-conforming book club” and promoting awareness of non-binary identities, which reportedly contributed to annual performance reviews. While her appointment has sparked criticism from some political figures, the Cabinet Office clarified she did not personally set these objectives. Cleared of past bullying allegations, Dame Antonia brings extensive experience leading major government departments, and her leadership will now shape the civil service amid ongoing debates about diversity and workplace culture.

Sir Keir Starmer Appoints Dame Antonia Romeo as Cabinet Secretary to Lead UK Civil Service Amid Controversy Over Past Inclusivity ProgramsSir Keir Starmer Appoints Dame Antonia Romeo as Cabinet Secretary to Lead UK Civil Service Amid Controversy Over Past Inclusivity Programs

Ari Redbord, global head of policy at TRM Labs, noted that state-aligned actors and sanctions evaders are now operating “durable financial infrastructure on-chain,” creating a sanctions-proof economy beyond the darknet.

Chainalysis analysis confirmed that most trades occur Monday through Friday, mirroring traditional business schedules and suggesting legitimate commercial use alongside sanctions evasion.

The Political and Legal Angle

While accusations of sanctions evasion swirl, A7A5 officials argue that their operations comply with Kyrgyzstan law and international standards for Anti-Money Laundering and Know Your Customer practices.

A spokesperson told Cointelegraph that criticisms are “politicized and lack factual evidence,” emphasizing that the stablecoin is used globally for export-import contracts, cross-border payments, and blockchain projects.

Wider Implications for Global Finance

A7A5’s rapid adoption signals the potential for nation-state-backed cryptocurrencies to challenge traditional banking and payments systems.

PSB has announced plans to allow cardholders to purchase tokens directly, hinting at further expansion.

Analysts suggest that similar initiatives could emerge in other countries facing financial isolation, creating a long-term, parallel financial ecosystem.

What’s Next?

Authorities and financial watchdogs worldwide will be watching A7A5 closely.

The main questions are whether regulators can contain sanctioned crypto networks and how mainstream financial institutions will respond.

The growth of A7A5 could also prompt discussions about legal frameworks for state-backed stablecoins and the role of blockchain in circumventing traditional sanctions.

Summary

The Russian-linked stablecoin A7A5 has emerged as a major player in a shadow financial system, facilitating billions of dollars in transactions despite sanctions.

Launched in 2025 by A7 and co-owned by Ilan Shor and Promsvyazbank, the token enables cross-border trade and business operations, while skirted sanctions from Western authorities.

Analysts warn that this trend marks a significant evolution of crypto usage, turning digital assets into an alternative infrastructure for state-aligned economic activity.

Its continued growth will test global financial governance and highlight the tension between blockchain innovation and regulatory oversight