McKinney, Texas, USA, July 14, 2026 (GLOBE NEWSWIRE) — Represented by Quinn Emanuel Urquhart & Sullivan LLP, TEXITcoin founder Bobby Gray and MineTXC have asked a judge to dismiss the Texas State Securities Board’s enforcement action before it reaches its scheduled August hearing.
Filed on July 8 in SOAH Docket No. 312-26-14427, the Motion for Summary Disposition asks the Court to determine that MineTXC’s Mining Packages were not securities under Texas law, arguing that the material facts are undisputed and that the case can be resolved without proceeding to a full evidentiary hearing.
If granted, the motion could resolve the central legal issues before the scheduled evidentiary hearing in August, representing a significant milestone in the company’s efforts to resume Mining Package operations in Texas.
World-Class Legal Representation
TEXITcoin’s legal team is led by Quinn Emanuel Urquhart & Sullivan LLP, widely regarded as one of the world’s premier litigation firms. In 2026, the firm was recognised by Chambers & Partners as Commercial Litigation Law Firm of the Year, reflecting its track record in handling some of the most complex commercial disputes globally.
Within the digital asset industry, Quinn Emanuel has represented leading companies and executives including Changpeng Zhao (CZ), Kraken, Gemini and Polymarket, bringing extensive experience in cryptocurrency, blockchain and regulatory litigation to TEXITcoin’s defence.
According to Bobby Gray, retaining Quinn Emanuel reflects the company’s confidence in both its legal position and the underlying facts surrounding MineTXC’s mining operations.
Background
The dispute began in February 2026, when the Texas State Securities Board (TSSB) issued an Emergency Cease and Desist Order against TEXITcoin, MineTXC, Blockchain Mint and founder Bobby Gray, alleging that the sale of MineTXC Mining Packages constituted the offer of unregistered securities under the Texas Securities Act. The order also alleged that aspects of the offering involved fraud and misleading statements, and directed MineTXC to immediately cease offering the Mining Packages in Texas.
MineTXC immediately complied with the order and has not offered Mining Packages in Texas since its issuance. From the outset, however, the company has maintained that the allegations are based on a fundamental misunderstanding of how its mining operation functions. According to TEXITcoin, customers participated in a Proof-of-Work mining pool, not an investment scheme, with more than 200 customers taking physical possession of their mining equipment and all mining activity being verifiable onchain. The Motion for Summary Disposition asks the Court to determine, based on the undisputed facts and applicable law, that the Mining Packages were not securities, potentially resolving the central legal issues before the scheduled August hearing.
The Filing
Quinn Emanuel’s motion is supported by a sworn declaration from Bobby Gray explaining how MineTXC operated, alongside an independent expert report prepared by Andrew Sotak, CPA, whose experience includes engagements for the U.S. Department of Justice, the Securities and Exchange Commission, and a CFTC-appointed Receiver.
The report concludes that MineTXC operated exactly as represented, with customers participating in a mining pool rather than purchasing securities. Among its principal findings:
- TXC is a digital commodity, not a security.
- Mining Package purchasers participated in a mining pool.
- MineTXC operated that mining pool in accordance with established industry practice.
- More than 200 customers took physical possession of their mining equipment.
- The mining operation functioned exactly as advertised, with activity verifiable on-chain.
- Under generally accepted accounting principles, the Mining Packages constitute ordinary revenue contracts rather than securities.
The motion also references the U.S. Securities and Exchange Commission’s March 2026 guidance, which states that participating in or operating a mining pool does not, by itself, make someone a securities issuer.
“From day one, we’ve maintained that MineTXC operated exactly as advertised: a Proof-of-Work mining business, not an investment security,” said Bobby Gray, Founder of TEXITcoin. “We’ve respected the Board’s process throughout these proceedings and will continue to do so. Bringing Quinn Emanuel onto this case reflects our confidence in both the facts and the law, and we’re pleased the Court now has the opportunity to review the evidence before the scheduled hearing.”
What Happens Next
The Texas State Securities Board will have an opportunity to respond to the Motion for Summary Disposition before the Administrative Law Judge determines whether the matter can be resolved without proceeding to the scheduled August hearing.
If the motion is granted, the core legal dispute could be resolved before trial. If denied, the matter will continue to the previously scheduled evidentiary hearing beginning on August 17, 2026, where Quinn Emanuel will continue presenting TEXITcoin’s defence.
While the proceedings continue, TEXITcoin’s L1 network and mining infrastructure remain fully operational, with the company continuing to develop its broader ecosystem while awaiting the Court’s decision.
All court filings and legal updates are available at texitcoin.org/legal.
About TEXITcoin
TEXITcoin (TXC) is a Layer 1 Scrypt Proof-of-Work cryptocurrency mined in Texas, with no premine and no team allocation. Built on the principle that sound money should be backed by real work and real infrastructure, TEXITcoin combines blockchain technology with physical mining operations to create a transparent, community-driven digital asset. TXC has traded on public exchanges since June 2024.
Luna PR Conor McLarnon conor@lunapr.io Sofia Pandolfo sofia@lunapr.io
