The dwarf irregular galaxy IC10 in Cassiopeia, is the youngest available starburst galaxy and home to many X-ray sources. Using the Gemini multi-object spectrograph (GMOS), in the wavelength range containing H-alpha, we obtained spectra of twenty five stars that are positionally coincident with X-ray sources, at the 95% significance level. The spectral class of each star is compared against its optical magnitude, and de-reddened intrinsic color. The spectroscopy allows us to determine which of the sources are definitely in IC10, based on their redshift, which are Galactic, and which are probably background quasars. Several of the sources are X-ray variables, as discovered in our 2003-2010 Chandra monitoring sequence and their properties will be studied in more detail.