VTuber agency VShojo shuts after CEO confirms Ironmouse charity donation wasn't paid

In a major blow to the VTuber industry and talent, the CEO of the American VTuber talent agency, VShojo, has announced that the company is ceasing operations as a result of financial mismanagement. In a recent post on X, Justin ‘TheGunrun’ Ignacio, the head of VShojo, took responsibility for the company’s dire financial state and wrote,

“VShojo has failed, and I've mismanaged the company into the situation you're all witnessing. So today I am sharing the difficult news that VShojo is shutting down, and I take full responsibility for the decisions that led us to this point. I've been doing everything I can to fundraise and right the ship these past few months, but despite my efforts, we are in a worse position, and those I care about are now paying the price.”

Referring to half a million dollars raised by Ironmouse, a VTuber part of VShojo’s initial roster, for the Immune Deficiency Foundation, Ignacio confirmed that the charity money was “spent by the company,” noted Dexerto. In his statement on X, Ignacio wrote,

“Additionally, I acknowledge that some of the money spent by the company was raised in connection with talent activity, which I later learned was intended for a charitable initiative. At the time, we were working hard to raise additional investment capital to cover our costs, and I firmly believed, based on the information available to us, that we would be able to do so and cover all expenses. We were unsuccessful in our fundraising efforts. I made the decision to pursue funding, and I own its consequences.”

Ignacio also apologized in his statement and added,

“I am deeply sorry to all the talents, staff, friends, and community members who believed in our brand. You did not deserve this.”

pic.twitter.com/fnbGvAtm50

— VShojo (@VShojo) July 24, 2025

VShojo CEO’s statement comes in wake of the majority of its VTuber talent’s departure

Controversy around financial mismanagement by VShojo first emerged when popular VTuber and Twitch streamer, Ironmouse, opened up about being owed money by the talent agency. In a YouTube video uploaded to her channel, the VTuber of Puerto Rican origin also claimed that VShojo did not pay the $500,000 that she raised for the Immune Deficiency Foundation via a fundraising subathon over a year ago, as per Dexerto.

In the video, uploaded on July 21, Ironmouse announced her decision to leave VShojo, and said,

“I am leaving VShojo. Unfortunately, I recently found out that for the past couple of months, I have been misled by VShojo. With the information that I currently I have, I believe that I am owed a significant amount of funds which I have not been paid. And most importantly, the thing that hurts me the most is that the Immune Deficiency Foundation, which is the most important charity to me and also the reason why I’m here today, is owed over half a million dollars from VShojo.”

Ironmouse’s comments led to huge fallout at the talent agency, with most of its VTubers announcing their departure.

Projekt Melody, a VTuber who has been a part of VShojo since its launch back in 2020, took to X to announce her departure, and wrote,

“I waited to make a statement, cuz I'm always anxious & struggle to find my words. But, yes, i'm leaving vshojo. I was an OG talent, put my everything into this comp. But I'm beyond devastated at what happened. & I never in a million years thought I'd be saying these words.”

Another VTuber signed to VShojo, Kuro, wrote on X,

“i didnt want to say anything until its finalized but since people keep making assumptions, no i am not staying here ive already submitted a leave contract and had that meeting 11 days ago”

Clarifying why the VTuber was still displaying the company’s logo, Kuro added,

“the only reason i still have the vshojo brand logo on here still is because they have to remove it themselves, as an associate u can not remove it yourself (same with everyone other member) in any case im just waiting for the contract to be all fulfilled and done but i guess im an indie now LOL”

AmaLee, a VTuber previously with VShojo, revealed that she would return to her career as an independent creator. She wrote on X,

“As of today I will be terminating my contract with VShojo effective immediately and I will be returning to being an independent VTuber and content creator. Nothing about my content will change, as I was indie for 18 years before signing with VShojo, and I retain my IP. My love goes out to the talents, I wish you all the best. Thank you so much for your continued support as we look toward the future”

As of today I will be terminating my contract with VShojo effective immediately and I will be returning to being an independent VTuber and content creator. Nothing about my content will change, as I was indie for 18 years before signing with VShojo, and I retain my IP. My love…

— AmaLee 🦋 M̶̱̍ö̷̧́n̶̝͋a̷͔̓r̷̝̓c̶̼̈́h̸͕̀ (@LeeandLie) July 22, 2025

Kson, a Japanese VTuber who was earlier associated with VShojo, quit the company during a livestream, as per Dexerto. The news outlet also noted that Kson revealed she was owed money by the company since October 2024.

VShojo initially launched with the promise to connect creators with brands

VShojo, which was headquartered in San Francisco, launched in 2020 with the promise to leverage the content created by “avatar-rooted entertainers” to foster connections between VTubers and brands, as per The Hollywood Reporter. Additionally, VShojo launched with the promise of being a leader in the English-speaking sphere of VTubers.

In his statement announcing the shutdown of VShojo, Justin Ignacio, who previously worked with Twitch, said that despite raising $11 million to build a “talent-first approach,” the company fell short of its goals and could not generate money to sustain its operations.

For now, it remains to be seen if everyone who is owed money by VShojo is paid back or not.