Treasury Targets Russian Crypto: A7A5, Garantex Sanctioned
The U.S. Treasury’s Office of Foreign Assets Control (OFAC) announced sanctions targeting key players in the Russian crypto economy, naming exchanges Garantex and its successor Grinex, along with the Ruble-backed token A7A5 and associated companies, the Treasury said.
Chainalysis data cited by regulators shows the action is meant to curb sophisticated sanction-evasion schemes moving value across borders.
OFAC’s designation highlights that A7A5—issued by Kyrgyz firm Old Vector and operating on Tron and Ethereum—has processed more than $51.17 billion in transactions and was supported by deposits from sanctioned Promsvyazbank (PSB). The Treasury said this activity demonstrates significant on-chain throughput tied to the token.
The token appears to function primarily as an internal settlement instrument within a narrow Russian financial network: trading is concentrated on weekdays and usage looks largely business-to-business rather than retail, according to the designation.
Garantex — previously sanctioned in 2022 and linked to illicit activity exceeding $100 million — was shuttered by international law enforcement in March 2025. On-chain analysis indicates that Garantex’s operations migrated to Grinex, with initial A7A5 liquidity flowing through Garantex addresses — evidence regulators say shows continuity in the underlying infrastructure enabling sanctioned actors to move funds.
- Entities designated: Garantex, Grinex, A7A5, Old Vector and associated companies.
- On-chain metrics: A7A5 processed > $51.17 billion.
- Bank links: Deposits from sanctioned Promsvyazbank (PSB) supported the token’s flows.
- Historic context: Garantex previously sanctioned (2022); shuttered March 2025; operations shifted to Grinex.
Regulators note that blockchain transparency both enables novel workarounds and provides forensic tools to trace and disable networks facilitating evasion.
The sanctions aim to disrupt cross-border transaction corridors that could undermine international measures. The A7A5 case underscores an evolving payments landscape in which Russia pursues alternate channels — raising fresh compliance and monitoring challenges for exchanges, DeFi platforms, and crypto service providers.
