A stablecoin pegged to the Russian ruble has quietly processed more than $9.3 billion in transactions just four months after its launch, according to a Financial Times investigation.
The digital asset, named A7A5, debuted in February 2025 in Kyrgyzstan and is marketed as the first ruble-backed stablecoin designed for cross-border payments outside Western financial systems.
The token operates exclusively on Grinex, a newly launched crypto exchange also based in Kyrgyzstan. Despite its relatively low public profile, A7A5 has seen explosive adoption, with 12 billion tokens currently in circulation—valued at approximately $156 million. Daily transaction volumes frequently exceed the token’s market cap, indicating high-frequency activity among a limited group of users.
While A7A5 is positioned as an independent and transparent project, investigations have revealed direct ties to Promsvyazbank, a sanctioned Russian defence-sector bank. This connection raises red flags about the token’s true purpose, particularly amid mounting evidence that it may be used to circumvent U.S., EU, and UK financial sanctions following Russia’s invasion of Ukraine.
The Centre for Information Resilience (CIR), a UK-based non-profit organization, suggests that the coin could also be playing a role in state-backed influence campaigns abroad, further deepening geopolitical concerns.
The emergence of A7A5 reflects Russia’s broader strategy to establish alternative payment rails beyond traditional Western-controlled infrastructure. It also highlights the growing adoption of blockchain technology to maintain financial channels in restricted environments.
As digital assets become increasingly intertwined with global geopolitics, the case of A7A5 underscores the challenges regulators face in monitoring crypto-based transactions that blur the line between innovation and sanctions evasion. The token’s trajectory is now seen as a test case for the future of state-linked digital finance in conflict-driven economies.
This trend is reinforced by recent data showing that Russian entities now hold over $25.4 billion in cryptocurrencies, driven by rising institutional demand. Altogether, A7A5’s rapid ascent underscores the blurred lines between innovation, regulation, and geopolitical maneuvering in today’s digital finance landscape.
