Not sure where this "flag" came from but there were not 17 states in the Confederacy. The Battle Flag (square) and the Union Jack (rectangular with lighter blue) had 13 stars at the end of the war signifying the 13 states which had joined the Confederacy. These two flags, however, were never the Official Confederate Flags, they were simply flags of units/navy.
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The Official and Unofficial National Flags of the Confederate States One of...