The A7A5, a stablecoin supported by the Russian ruble, has risen impressively, achieving a market cap of $500 million and surpassing all other non-USD stablecoin competitors despite significant sanctions.

On Monday, the market cap of A7A5 hit approximately 43% of the total $1.2 billion market cap for non-USD stablecoins according to data from CoinMarketCap and DefiLlama.

“We have already proven that a national digital currency can be not only an alternative to the dollar but also a driver of global change,” A7A5 mentioned on its Telegram channel on Saturday.

This statement coincides with the growing attention surrounding A7A5 at Token2049, a prominent crypto industry conference held in Singapore, where discussions about sanctions and the project’s escalating global reach were prominent.

A7A5: Key Events in Sanctions

Launched in February, the A7A5 stablecoin was described as a “token backed by a diversified portfolio of fiat deposits held in reliable banks within Kyrgyzstan’s network.” It is pegged 1:1 to the ruble and promises a daily passive income reflecting half of the interest on deposits, initially deployed on the Ethereum and Tron blockchain networks.

The US Treasury imposed sanctions in mid-August against Grinex, a crypto exchange linked with A7A5, identifying Ilan Shor, a Moldovan oligarch, as the owner of A7A5’s issuer, the Russian bank Promsvyazbank PSB.

A7A5 market cap surge Source: CoinMarketCap

Despite sanctions, A7A5 exhibited explosive growth, adding $350 million to its market value in a single day on September 25, reaching a total of $500 million, outpacing Circle’s euro-pegged EURC, which was valued at $252 million at that time.

A7A5’s rise was highlighted by its appearance at Token2049, where its executive Oleg Ogienko presented. This presence at the event ignited discussions within the crypto community regarding compliance and the need to address regulatory loopholes effectively.

Oleg Ogienko at Token2049 Source: A7A5

Investigations drew connections between A7A5 and Chinese ties, with reports indicating that 78% of A7A transactions transacted through Chinese jurisdictions, alongside the company’s growing activities in Africa.

For further details, Cointelegraph reached out to A7A5 regarding their rapid growth but did not receive a response prior to publication.