A ruble-backed stablecoin linked to sanctioned Russian monetary networks processed greater than $100 billion in onchain transactions in lower than a 12 months, based on a brand new report from blockchain analytics agency Elliptic.
In a report printed Thursday, Elliptic stated the A7A5 stablecoin was designed to function inside a broader framework supposed to scale back publicity to Western monetary sanctions. The construction allowed Russian-linked companies to maneuver worth by crypto markets whereas limiting the danger of asset freezes.
Elliptic discovered that A7A5’s exercise surged following its launch in early 2025, earlier than slowing down within the second half of the 12 months as sanctions and compliance actions taken by exchanges and token issuers began to limit its usability.
Elliptic stated the dimensions and construction of the flows spotlight how non-US greenback stablecoins will be designed to assist sanctioned commerce and the way enforcement stress can nonetheless disrupt such methods.
A7A5’s $100 billion determine and its function as a USDT bridge
Elliptic stated the $100 billion determine represents the cumulative worth of all A7A5 transfers recorded on public blockchains, together with Ethereum and Tron.
“That is the mixture worth of all A7A5 transfers,” Tom Robinson, the founder and chief scientist at Elliptic, informed Cointelegraph.
“We’re not taking a subjective view on whether or not every transaction constitutes distinct financial exercise, though the truth that transaction charges have been paid for all A7A5 transfers suggests all of them confer a profit to the transactor.”
Elliptic’s evaluation reveals that A7A5 has primarily functioned as a bridging asset between rubles and Tether’s USDt (USDT), which stays the biggest dollar-pegged stablecoin globally.
The corporate stated the construction allowed customers to maneuver worth into USDT markets with out sustaining extended publicity to wallets susceptible to freezes by Western authorities.
The report famous that the stablecoin’s buying and selling exercise had been focused on a restricted variety of venues, together with Kyrgyzstan-based exchanges and project-linked infrastructure. This reinforces the token’s function as a purpose-built settlement instrument relatively than a broadly adopted retail stablecoin.
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Sanctions stress and trade controls curb progress
Elliptic stated the stablecoin’s growth slowed round mid-2025, with no main issuances since July and transaction volumes falling from peaks of $1.5 billion to about $500 million.
Robinson informed Cointelegraph that US sanctions imposed in August 2025 had probably the most instant and materials affect on the stablecoin’s performance.
“The US sanctions in August 2025 seem to have had the biggest affect,” Robinson stated. “Instantly after the US designations, USDT liquidity provision to A7A5’s DEX dropped considerably, eradicating one of many stablecoin’s key advantages — simple on-chain entry to USDT.”
Extra constraints adopted as exchanges instrument motion. In November 2025, decentralized trade (DEX) Uniswap added A7A5 to its token blocklist, stopping buying and selling through its internet interface.
Elliptic additionally cited experiences from customers whose USDT deposits had been frozen by exchanges after being traced again to A7A5-linked wallets.
On Oct. 23, the European Union formally sanctioned A7A5, describing it as a instrument used to bypass monetary restrictions tied to Russia’s battle financial system.
Robinson stated A7A5’s trajectory illustrates each the potential and the boundaries of non-dollar stablecoins constructed for sanctions-era finance.
“Whereas the US greenback dominates the worldwide financial system, there are structural limits to how far a stablecoin resembling this may develop,” he informed Cointelegraph. “Nonetheless, if that adjustments, all bets are off.”
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