Summary
Despite being targeted by U.S. and U.K. sanctions, the ruble-pegged stablecoin A7A5 appeared as a platinum sponsor at Singapore’s TOKEN2049 conference with its own booth and stage presence. After media inquiries, event organizers removed references to A7A5 from their materials. According to blockchain analytics firm Elliptic, A7A5 has processed over US$70.8 billion in transfers since its January launch, predominantly across Asia, Africa, and Latin America.
TOKEN2049 Sponsorship & Subsequent Purge
- A Reuters investigation confirmed that A7A5 had been listed among more than 20 platinum sponsors of the conference. Staff wore branded shirts, and Oleg Ogienko, the token’s regulatory director, was initially scheduled to speak on stage.
- In response to media scrutiny, TOKEN2049 organizers scrubbed all mentions of A7A5 and removed Ogienko’s speaker listing by 1300 GMT on the day the inquiry was published.
- Ogienko confirmed that his team had applied for sponsorship via normal channels and that the stablecoin operation presented at the booth was part of the sanctioned entity. He denied involvement in money laundering and claimed compliance under Kyrgyz regulations.
Sanctions, Transfers & Usage
- The U.S. and U.K. placed sanctions on organizations tied to A7A5 in August 2025, alleging that the stablecoin was designed as a tool to help Russians evade Western financial restrictions.
- Elliptic’s data attributes over US$70.8 billion in transactional volume to A7A5 since its launch in January, with much of that flow happening in markets across Asia, Africa, and Latin America.
- Internal document leaks reviewed by Elliptic suggest that A7’s operators at one point deployed at least US$2 billion in USDT to exchanges to buy A7A5 tokens, helping bootstrap liquidity and market depth.
- A7A5 is issued under Kyrgyzstan-registered entities (e.g. Old Vector LLC) and claims backing via ruble deposits held in accounts linked to Russia’s Promsvyazbank, a defense sector bank already under sanctions.
Significance & Implications
- Sanctions Evasion via Crypto Infrastructure
A7A5’s presence at a major global crypto event underscores how sanctioned entities may exploit decentralized or cross-jurisdictional frameworks to maintain visibility and access. - Enforcement Limitations
TOKEN2049’s removal of A7A5 references highlights the reputational risk in participating in sanctioned projects, and reflects a reactive posture when compliance is questioned. Organizers in jurisdictions outside the U.S. may lack legal compulsion to refuse such sponsorships beforehand. - Regulatory & Compliance Pressure on Exchanges
As stablecoins like A7A5 circulate, exchanges—especially in non-U.S. jurisdictions—face pressure to screen for indirect sanction exposure and ensure they are not facilitating illicit flows. - Market Transparency vs Opacity
While blockchain tracing reveals flows, identifying the ultimate beneficial owners, controlling parties, and intent remains challenging. The scale of A7A5’s transfers suggests sophisticated infrastructure supporting its use.
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