Oleg Ogienko, a senior representative of ruble-backed stablecoin issuer A7A5, says his firm is operating within the law despite scrutiny tied to sanctions.

In remarks to CoinDesk at Consensus Hong Kong, Ogienko portrayed A7A5 as a rapidly expanding cross-border payments solution built to help businesses continue international trade amid geopolitical restrictions.

The Kyrgyzstan-incorporated company issues a ruble-pegged stablecoin that, according to industry data, grew its circulating supply faster last year than dominant dollar-backed tokens such as Tether and USDC, issued by Circle. Ogienko said compliance with local regulations is central to the firm’s operations.

“We are fully compliant with the regulations of Kyrgyzstan. We do not do illegal things,” he said, pointing to routine audits, know-your-customer checks and anti-money-laundering controls embedded in the platform’s infrastructure. He also said the company adheres to Financial Action Task Force standards.

Still, the broader structure around A7A5 has drawn attention. Its affiliated entities, Old Vector LLC and A7 LLC, along with reserve-holding bank Promsvyazbank, are sanctioned by the U.S. Department of the Treasury. That designation restricts access to the U.S. dollar-based financial system and limits interaction with many global institutions.

Ogienko noted that while U.S. sanctions bar American entities from engaging with those firms, facilitating trade for Russian companies is not prohibited under Kyrgyz or Russian law. He framed A7A5 as infrastructure serving businesses in regions where such transactions remain legally permissible.

The token has gained traction among Russian users facing banking limitations, offering a channel for cross-border payments. Through decentralized finance protocols, it also provides a route to USDT liquidity without directly holding dollar-backed stablecoins.

Data from analytics firm Artemis indicate A7A5 expanded its circulating supply by nearly $90 billion last year, outpacing growth seen in USDT and USDC over the same period.

Adapting to a shifting landscape

Ogienko acknowledged that sanctions have increased friction for companies and limited access to some Western markets. However, he argued that trade has not stopped, but rather adapted — creating demand for alternative settlement mechanisms such as A7A5.

He said much of the token’s usage comes from businesses in Asia, Africa and South America that trade with Russian exporters and importers and require reliable cross-border payment rails.

Liquidity remains relatively thin. Major centralized exchanges have avoided listing A7A5 due to concerns over secondary sanctions exposure. While decentralized liquidity pools allow swaps into USDT, available depth is limited.

Ogienko said he attended meetings in Hong Kong to expand exchange listings and blockchain integrations. The token is currently live on Tron and Ethereum, with additional network deployments under consideration.

Sanctions-related sensitivities have surfaced at industry events. At Token2049 in Singapore — organized by Hong Kong-registered BOB Group in a jurisdiction without sanctions on Russia — A7A5 was initially listed as a sponsor before references were later removed following concerns from other participants.

Despite the political backdrop, Ogienko said the company’s ambitions remain unchanged. He outlined a goal of increasing the share of Russia’s international trade settlements conducted via A7A5, potentially exceeding 20% over time.

For now, the stablecoin is not available for domestic use in Russia, where lawmakers are still drafting digital asset regulations. Ogienko described the firm’s relationship with Russian authorities as consultative, focused on blockchain policy and financial infrastructure rather than direct state oversight.

“We’re not politicians. We are traders. We are businessmen,” he said. “We’re open for business cooperation with any country.”