US Sanctions Russian A7 Financial Network Over Tether Based Sanctions Evasion

According to ArzDigital, the US Treasury Department sanctioned the Russia linked "A7 Network" on Friday, October 2, 2026 (Mehr 10, 1405), over allegations of sanctions evasion. The Treasury said the network's subsidiaries and intermediaries processed more than 17 billion dollars in transactions between January 2025 and June 2026, using digital assets, including Tether (USDT), to move money and bypass financial restrictions. According to the US Financial Crimes Enforcement Network (FinCEN), the network used a ruble backed token called A7A5, tied to deposits at the sanctioned Russian bank Promsvyazbank, as a settlement tool before converting it into more liquid assets such as Tether. The Treasury's Office of Foreign Assets Control (OFAC) designated the network as a significant transnational criminal organization, and FinCEN has proposed barring covered US financial institutions from sending or receiving funds linked to specific A7 subsidiaries, including digital currency addresses it controls.