VShojo shuts down after massive talent exodus

VTuber fans have been left stunned as VShojo shuts down following a public fallout with its top talent. Once hailed for its “talent-first” model, the agency faced intense scrutiny when fan-favorite Ironmouse revealed she was leaving over unpaid funds — including a missing $500,000 charity donation. Her exit triggered a domino effect, with nearly every other VShojo creator parting ways shortly after. The news quickly escalated into one of the biggest controversies in the VTuber industry, and many are now questioning the agency's internal operations and financial transparency.

Talent fallout and unpaid funds as reasons VShojo shuts down

According to multiple former talents, VShojo failed to honor critical financial obligations. Ironmouse, one of the agency’s most successful creators, stated that both her personal payments and a major charity contribution she helped raise never reached their intended destinations. Other creators echoed similar claims, citing unpaid wages and general mismanagement. As these allegations surfaced, CEO Justin Ignacio, known as “Gunrun,” took to social media to announce the agency’s closure and publicly accepted responsibility for what he described as poor leadership and a failed business model.

VShojo’s collapse despite raising millions

Despite securing $11 million in funding, VShojo couldn't maintain its ambitious “talent-first” approach. CEO Ignacio admitted that while the company aimed to redefine VTubing by empowering creators, it ultimately failed to generate sustainable revenue. As investor backing dried up and internal tensions mounted, the financial strain became unbearable. The company allegedly spent funds that were meant for charitable causes, a move Ignacio later admitted was a critical oversight. Attempts to secure additional financing fell short, leaving the company no choice but to shut down entirely.

What the future holds after VShojo shuts down

The sudden shutdown of VShojo marks a turning point for the VTuber industry. With creators now independently navigating their paths or seeking new representation, the event serves as a cautionary tale for agencies aiming to scale rapidly without strong financial governance. Fans are rallying behind their favorite VTubers, many of whom are already streaming on independent platforms. As the dust settles, VShojo’s downfall is likely to shape how future VTuber agencies operate — with transparency, creator rights, and financial accountability taking center stage.