VShojo, a vtuber agency embroiled in controversy, is shutting down after being accused of mismanagement.

The CEO, Justin Ignacio, revealed the agency never generated enough revenue to maintain operations. His admission comes amid accusations that the agency withheld over $500,000 in charity funds from a donation promised by popular vtuber Ironmouse during her record-breaking stream.

After Ironmouse’s claims, a wave of other vtubers departed VShojo, including notable streamers like Kson, Projekt Melody, and Henya.

Ignacio stated, “VShojo has failed, and I’ve mismanaged the company into the situation you’re all witnessing. 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.”

He elaborated that despite raising around $11 million, the operational costs to pay creators, staff, and for events depleted their funds, forcing him to seek additional investment.

The future of the charity funds remains uncertain, as no mention was made regarding their further allocation or potential repayment to the donors. Ironmouse has reportedly initiated a new fundraising effort to compensate for the alleged loss, which has already raised over $1.2 million.