UPDATE: Ignore all the below, all my testing was useless. I had the sprite as a serialized reference in an asset bundle, the texture properties are not updated unless the bundle was rebuilt. You can disregard, I was able to get it working.
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@Harald Do you have any other work around suggestions? I tried every setting on the Texture and nothing worked. Max Size setting never matters, Resize Algorithm never matters, Format never matters. Textures that throw this error throw it 100% of the time.
Is there any more detail on the workaround you can provide? My texture sizes were not multiples of 4.
I also tried making sure it was DXT5 to DXT5 by changing the texture format in the Atlas Utilities. In that case I get illegal pixel operations. RGBA 32 to RGBA 32 didn't work either.
Oddly, when both the texture of the source sprite and the destination are both RGBA 32, it still says "Graphics.CopyTexture can only copy between same texture format groups (d3d11 base formats: src=76 dst=27)" I have no idea where d3d11 is coming from. I will continue to dig....
Further still adding to the confusion I tried using the legacy code:
Color[] pixelBuffer = source.GetPixels((int)sourceRect.x, (int)sourceRect.y, (int)sourceRect.width, (int)sourceRect.height);
destination.SetPixels(pixelBuffer);
destination.Apply();
To copy the texture, and even though I explicitly set the texture data to readable, its still coming out as not readable...
Im very confused.
I wonder if this is the underlying bug as to why the graphics copy texture fails to, perhaps with the wrong message. Maybe there is a read write bug?