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U.S. proposes bans targeting Russia’s A7 Network ties to crypto

The move follows reports that A7’s ruble token saw $179 billion in transfers, and would restrict financial transfers involving A7’s Sub-Agents.

Reported · Written up by our desk · Regulation

The U.S. Treasury has proposed cutting off Russia-based A7 Network front companies from American finance, including crypto, as part of a sanctions effort aimed at limiting how the network makes and disguises payments.

According to Decrypt, the Office of Foreign Assets Control designated A7 Network a significant transnational criminal organization, listing addresses tied to Russia, Kyrgyzstan, Nigeria, and Zimbabwe.

Decrypt also reports that the Financial Crimes Enforcement Network separately proposed prohibiting transfers involving what it calls the network’s Sub-Agents, the companies A7 uses to make sanctioned payments appear to be ordinary trade.

The Treasury action is framed as part of the Combating Russian Money Laundering Act, with FinCEN selecting a transmittal-of-funds prohibition under the statute’s special measures, while TRM Labs noted the related correspondent-account restriction would have created a gap based on its research.

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