What is the true nature of Russia's little-known payment network, 'A7'? It helps Russia circumvent Western sanctions and handles approximately 20% of Russia's foreign trade settlements.

A7, a startup company less than two years old, claims to handle approximately 20% of Russia's foreign trade settlements, totaling over $100 billion (approximately 15.8 trillion yen) annually. The Wall Street Journal has compiled information on what kind of company this is.

Russia's Hottest Startup Is a State-Backed Sanctions Evasion Network - WSJ

A7 was founded by a man named Ilan Shoah. In 2014, Shoah was convicted in Moldova for his involvement in a scheme to withdraw $1 billion (approximately 158 billion yen) from three banks in Moldova, one of the poorest countries in Europe, but he escaped the country while under house arrest. Shoah denies the allegations and claims his actions were politically motivated. As of the time of writing, he is reportedly living in Russia.

In 2024, SHOAR partnered with Promusvyazbank (PSB), a Russian state-owned bank primarily focused on the defense sector, to launch A7. PSB was one of the financial institutions sanctioned by Western countries and excluded from the Society for Worldwide Interbank Financial Telecommunication (

According to research institutions, A7 is using a network of shell companies in places like Kyrgyzstan, Hong Kong, and the United Arab Emirates to circumvent these regulations. These shell companies have plausible websites and local bank accounts, but are actually secretly managed by A7 staff in Moscow.

A7 is accused of using its shell company's access to SWIFT to make payments on behalf of customers within Russia, and of using AI to create fake invoices to conceal the true purpose of the transactions, thereby avoiding suspicion from banks.

By advertising its international money transfer services and 'low fees,' A7 has successfully marketed its services to small and medium-sized enterprises and individuals. Benefiting from Russia's strengthened trade with China following the war with Ukraine, approximately 65% of its transactions are now in Chinese yuan. As of the time of writing, A7 has expanded its services globally, opening its first overseas offices in Nigeria and Zimbabwe. It also plans to expand into Latin America and the Middle East in the future. Furthermore, it is also involved in cryptocurrency business, aiming to connect with countries where transactions cannot be conducted through bank networks.

Russian President Vladimir Putin will participate via video link in the opening ceremony of A7's branch in 2025, expressing his support for the company.

In an interview with the Russian state news agency, Shore stated, 'The Western system effectively controls the entire global financial system, and the West can switch it off at any time, preventing any country from making payments. We give freedom to companies and countries because our system is not affected by sanctions.'

The United States, the United Kingdom, and the European Union have all imposed sanctions on A7, but analysts point out that 'A7's network is adapting to Western pressure and is showcasing its capabilities.' They claim that the network already reaches more than 100 countries worldwide and suggest it could become a force to be reckoned with, like SWIFT.