At the North American Blockchain Summit, TEXITcoin representatives gave out 5 FREE TXC and Cold Storage Wallets with a flashy plastic coin with a star on it. They claimed to sponsor various prestigious organizations in Texas, including the Dallas Stars, Formula 1, and the University of Texas Athletics.
Verdict on TEXITcoin’s Sponsorship Claims: Highly Inflated
“They made a statement to the effect that these partnerships make us seem legit,” Alex More told Disruption Banking at the Summit. More is a securities lawyer deeply familiar with the legal requirements for advertising securities. He was at the Summit speaking in a panel in his capacity as an attorney at Carrington Coleman, but he took a personal interest in TEXITcoin because the claims of the guys at the summit raised red flags.
TEXITcoin’s claims that TEXITcoin is an official sponsor of the Dallas Stars, UT Athletics, and Formula 1, did not withstand scrutiny. Formula 1 denied TEXITcoin was a sponsor on the record, as did Texas Christian University, a sponsorship attributed to TEXITcoin on Instagram.
Outside of social media announcements, Disruption Banking was unable to find any corroboration that TEXITcoin was in “talks with the Dallas Stars to have the TEXIT logo on their helmets and jerseys as well as advertising on digital signage throughout their arena.”
The Dallas Stars did not respond to a request for comment.
The claim about UT Athletics was partially true, although Learfield did not respond to a request for comment. TEXITcoin reportedly sponsors Texas Athletics-focused broadcast segments with Youtubers, such as Frogs Today, a channel with under 10,000 subscribers, which is not really the same as sponsoring Texas Athletics or any Longhorn Sports Properties, as representatives of TEXITcoin stated.
Lone Star Crypto
The scam uses secessionist rhetoric to sound like a grassroots project, but TEXITcoin is just a fork of Litecoin, a foreign blockchain, from which TEXITcoin borrows its open-source code with “a few minor changes,” according to a lengthy rundown on Medium flagging TEXITcoin as a “Likely Scam.”
On TEXITcoin’s website, there’s a revealing section entitled “Don’t Mess with Texas,” where it is written, “Texas stands as a bastion of tradition and steadfast values, sometimes at odds with the swiftly changing national landscape. Amidst these tides of change, many Texans sense a deepening discord between their core beliefs and the national trajectory. This disparity transcends mere policy or politics; it reflects a a (sic) fundamental difference of worldviews.”
The copywriting of TEXITcoin is very seductive for MAGA America. It explains a sense of uncomfortable dependence on the federal government.
When a pitch opens with that kind of introduction, it forms a bond with the potential investor that is an article of faith.
The Need to Secede
The “Learn More” button leads to a blog with the headline, “The Need to Secede,” a topic for another time. It’s uncanny how targeted TEXITcoin is for secessionists.
According to an AI-generated Youtube video announcing “A Declaration of Independence,” “TEXITcoin is mined in Texas, powered by Texan energy, and built by people who believe their money should be as strong and independent as their state.”
This passage really speaks to a certain highly passionate group within the MAGA coalition, but it really doesn’t have anything to do with TEXITcoin.
The video drones on, “Whether or not Texas ever regains full independence, we’re going to need a financial system that doesn’t buckle every time the Fed sneezes,” adding, “We need a currency that’s fast, honest, and unshackled from global manipulation. TEXITcoin is that currency.”
Maybe this ideological affinity can explain why so many Texans are going on social media to defend TEXITcoin and to profess how it changed their lives. Not only because it offers ready returns, but also because it speaks their language and it comforts them, telling them they’re right about their distrust of the Federal Reserve.
The Math Ain’t Mathin on the Mining
Later in the video, it says, “We’re building a real mine here in Texas.”
There are several flourishes of poetic embroidery, and at some a disembodied voice declares that TEXITcoin is meant, “not to compete with Bitcoin, but to prove that a strong, honest, decentralized mine can birth a coin with real-world utility and rock-solid roots.”
The mining claims are important because they need to be verified, but that poses obstacles for retail investors in Texas who only go by the picture presented on sites or accounts controlled by Bobby Gray.
TEXITcoin claims all of its mining happens within Texas, but TEXITcoin has not publicly named a single specific data center or industrial miner.
Disruption Banking was unable to find any public data centers, mining pools, or contracts disclosed. If TEXITcoin is building a “real mine” in Texas, this has not been verified by any independent observer.
In the Medium post, CoinMLS wrote, “I believe they fully believe they’re launching ‘the next big crypto’ here, but there are some clear ways in which they are hiding key details and hiding certain information that if published would reduce sales. They are certainly not being fully honest about the sale of mining power and how that works. The network hashrate has remained essentially unchanged at 30–40GH in the last 6 months while they sold thousands of 100MH mining shares (over 600GH by my estimate). The mining sales appear to be a complete façade. The false sale of mining shares is likely a workaround to government startup investment regulations leaving this project subject to shutdown by regulators at any moment.”
“It’s a Risk, but It’s Not a Scam.”
TEXITcoin’s sponsorship claims are far-fetched, and its mining claims are at best unsupported and “a complete façade” at worst.
The structure (selling “mining shares” to retail investors) may qualify as a Reg D or Reg CF security offering under U.S. law. No Form C or Form D filing exists on EDGAR for TEXIT Coin LLC or Bobby Gray as of November 2025.
CoinMLS and independent lawyers warned the offering could be a non-compliant security sale.
As if more confirmation were necessary, this is not Bobby Gray’s first scam. He was behind Mulligan Mint and Deluminati Coin, which targeted “anti-establishment” people, according to a story by the American Bankruptcy Institute. Sound familiar?
In the case of Mulligan Mint, when a reporter asked, “Where did the [$1.4 million shipment of] silver go?”
Bobby Gray, then president of Mulligan Mint, answered, “That’s the big question. We don’t really know.”
TEXITcoin promises independence, strength, and Texan pride, a message designed to resonate deeply with a specific political identity, but when the sponsorships don’t check out, the mining claims lack evidence, and the founder has a history of similar collapses, investors need to ask hard questions before buying into the dream.
Whether TEXITcoin becomes another footnote in Bobby Gray’s trail of failed ventures or the next chapter in Texas-themed crypto mythology depends on transparency that still hasn’t materialized.
Author: Tim Tolka, Senior Reporter
#Crypto #Blockchain #DigitalAssets #DeFi
The editorial team at #DisruptionBanking has taken all precautions to ensure that no persons or organizations have been adversely affected or offered any sort of financial advice in this article. This article is most definitely not financial advice.
