US sanctions A7 network for allegedly aiding Iran’s sanctions evasion

The US Treasury has moved against A7, the Kremlin-backed fintech network accused of helping Iran slip past Western sanctions. On October 1, 2026, the Office of Foreign Assets Control (OFAC) designated the A7 Network as a significant transnational criminal organization.

The action came under Treasury’s Operation Economic Outcast. The Financial Crimes Enforcement Network (FinCEN) joined OFAC in the effort, adding regulatory measures on top of the sanctions.

What Treasury did, and why

The core allegation is that A7 helped Iran run financial operations it otherwise could not. According to the Treasury action, the network assisted the Islamic Revolutionary Guard Corps (IRGC) and affiliated proxy groups, including Hamas, in evading sanctions.

FinCEN went further than a standard designation. It proposed a rule that would bar US financial institutions from processing any transactions tied to A7’s sub-agents.

FinCEN also issued an alert flagging red flags associated with the network.

Treasury identified the A7A5 token, described as a ruble-backed stablecoin, as blocked property.

The scale of the alleged operation

The numbers attached to A7 are large. As of January 2026, the network is claimed to have executed over 2,000 transactions each day.

Those transactions reportedly totaled more than 7.5 trillion rubles, or approximately $91.5 billion. That figure represents around 13% of Russia’s foreign trade in 2025.

Between January 2025 and June 2026, sub-agents associated with A7 were reported to have handled over $17 billion globally. A single sub-agent received nearly $140 million linked to Iranian sanctions evasion efforts.

The network is reportedly operated by Ilan Mironovich Shor, a Moldovan businessman. He has connections to Promsvyazbank, a sanctioned Russian state bank.

Not A7’s first run-in with Treasury

This is a sequel, not a debut. On August 14, 2025, OFAC designated specific entities including A7 LLC and Old Vector LLC.

The October action widens the net considerably. Instead of targeting individual companies, it covers the entire A7 Network.

Treasury Secretary Scott Bessent framed the move as part of a broader push. The stated goal is to dismantle the financial plumbing that lets adversaries like Iran reach the global financial system.

What this means for crypto and compliance

For the crypto industry, the A7A5 designation is the headline item. Blocked property status means US persons generally cannot deal in the token, and any platform touching it takes on serious legal exposure.

The FinCEN proposal deserves attention too. If finalized, a ban on processing sub-agent transactions would push the burden onto banks and payment firms to identify A7 intermediaries, even ones using new names.