This work presents an eco-friendly strategy for producing recyclable functional textiles by minimizing the use of hazardous chemical to promote safer and more sustainable applications for both indoor and outdoor use. Exfoliated g-C3N4 (TGCN), obtained through thermal treatment of bulk g-C3N4 (BGCN), was uniformly coated on viscose fabric via ultrasonic-coating, ensuring photocatalytic functionality. Both BGCN and TGCN were immobilized onto the surface of viscose fabric, denoted as BGCN-coated and TGCN-coated, respectively. The photocatalytic performance of the coated viscose fabric was examined through the photodegradation of Rhodamine B (RhB) dye and photocatalytic antibacterial test against Gram-negative Escherichia coli (E. coli) under visible light irradiation. Remarkably, TGCN-coated achieved complete removal of RhB dye with 23.59% of TOC removal within 150 min, outperforming the BGCN-coated. Both coated textiles exhibited excellent antibacterial performance, yielding 99.0% elimination of E. coli within 150 min. TGCN-coated exhibited better self-cleaning ability than BGCN-coated, as evidenced by its faster and more effective coffee stain decolorization under light irradiation. The superior photocatalytic performance of TGCN-coated was attributed to the increased specific surface area of TGCN (26.9554 m2/g) which was three times larger than that of BGCN (7.2942 m2/g) upon thermal exfoliation. This enhancement exposed more active sites on the photocatalyst surface, resulting in the generation of more reactive radical species during photocatalysis. Despite a relatively wider band gap of TGCN (2.81 eV) compared to that of BGCN (2.76 eV), its lower recombination rate of electron–hole pairs with decay lifetime of 4.94 ns enhanced the photocatalytic efficiency. Moreover, TGCN-coated exhibited high durability and stability by retaining over 95% of antibacterial efficiency after 10 washing cycles.