Medea Destiny
Reproduce: Look at any text display board using any of the xy text solutions in current (foreverFPS) Firestorm beta. Observe that the text remains blurry until you zoom in ridiculously close.
This appears to be an issue with using texture bias levels based on distance/size. Purely from observation and guesswork, it looks as if the calculation here is being done assuming that a face is using the full texture space, rather than actual pixel density. In XY text solutions, each face is displaying a single character (or sometimes a pair), and using only a fraction of a texture atlas that will contain a full alphanumeric set. Thus if using a 1024x1024 texture, each face may only be displaying for example 10k pixels rather than the full million. If the calculation for discarding higher resolutions is done assuming that the surface will be displaying a million pixels rather than 10k at full resolution, the obvious result is a very blurry image.
I have observed a similar issue with mesh that has multiple faces sharing the same UV space, so that a single texture atlas is used for multiple faces. In this case you might have multiple faces using the same 1024x1024 texture, but some may be using a tiny fraction of the pixels, and thus the actual pixel density will be very different from a calculation that assumes that the full resolution is being applied to that face. It seems to be pretty consistent for me that mesh with this kind of texture atlassing is visibly blurring far more aggressively than other things, and only looks right when the camera is zoomed way in on the affected mesh.