US Treasury Designates Russian Stablecoin Operator A7 a Significant Transnational Criminal Organization

The U.S. Treasury Department has designated A7 Network, which operates the ruble-backed stablecoin A7A5, as a Significant Transnational Criminal Organization.

According to Decrypt on October 2, the Treasury's Office of Foreign Assets Control designated A7 Network as a transnational criminal organization. The Treasury said the network had supported sanctions evasion by Iran and the Islamic Revolutionary Guard Corps, or IRGC.

The Treasury's Financial Crimes Enforcement Network, or FinCEN, also proposed a rule to block companies linked to A7 Network from accessing the U.S. financial system. The proposed measure would apply to fund transfers conducted in both fiat currency and digital assets.

A7A5, used by A7 Network, is a ruble-pegged stablecoin issued on the Tron and Ethereum networks. FinCEN said more than 180 entities processed at least $179.1 billion in transactions through A7A5 from February 2025 to June 2026.

FinCEN said A7A5 was used primarily to convert funds into other stablecoins, including Tether's USDT, as well as into fiat currency. Through separate intermediaries, A7 Network holds accounts at 435 financial institutions in at least 83 countries and processed more than $17 billion in fiat transactions from January 2025 to June 2026, according to FinCEN.

Treasury Secretary Scott Bessent said anyone supporting illicit finance for U.S. adversaries would lose access to the U.S. financial system.