365Crypto
The European Union is preparing to tighten the screws on Moscow’s crypto scene — and this time, it’s eyeing the ruble-backed stablecoin A7A5.
According to Bloomberg, EU officials are considering sanctions that would stop European individuals and companies from dealing with A7A5 directly or through third parties. The token, launched by Russian-linked firms, has become the largest non–US dollar stablecoin in circulation.
The sanctions would also hit several banks in Russia, Belarus, and Central Asia accused of helping sanctioned entities move crypto funds. It’s part of Brussels’ wider campaign to block financial escape routes for Russian money.
In September, the EU banned crypto platforms from serving Russian residents and foreign banks tied to Russia’s financial network. Since then, Moscow has ramped up its use of crypto, shadow fleets, and even illicit gold trades to dodge restrictions.
*(Shadow fleet = ships used to secretly move sanctioned goods.)*
A week after those September sanctions, A7A5’s market cap exploded — jumping from $140 million to over $490 million in one day, a 250% leap. It now sits near $500 million, representing about 43% of all non-dollar stablecoins.
If approved by all 27 member states, the sanctions could still change before taking effect. The European Council says these measures aim to influence behavior and support EU foreign policy goals.
The EU’s move follows similar sanctions from the US and UK in August, which blacklisted banks and crypto exchanges tied to Russia’s financial web. A7A5, launched by Moldovan banker Ilan Shor and Russia’s Promsvyazbank, claims to be backed by fiat reserves in Kyrgyz banks. Despite bans, it even showed up at Token2049 — until event organizers quietly booted it from the lineup.
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