EU Prepares Sanctions Against Russian Ruble Stablecoin A7A5

The European Union is advancing sanctions targeting A7A5, a $500 million Russian ruble-backed stablecoin that has emerged as the largest non-dollar pegged digital asset. The measures WOULD prohibit EU entities from direct or indirect transactions with the token.

Market data shows A7A5's capitalization surged 250% to $491 million on September 26 following earlier EU crypto restrictions. The stablecoin, developed by Moldovan banker Ilan Shor and Russia's Promsvyazbank, predominantly routes transactions through Chinese channels.

Several financial institutions across Russia, Belarus, and Central Asia face parallel sanctions for allegedly facilitating crypto transactions for blacklisted entities. The MOVE signals Brussels' escalating efforts to disrupt alternative financial channels supporting Russian interests.