TLDR;
This video provides a comprehensive overview of the rise and fall of VShojo, a VTuber corporation that initially promised talent freedom but ultimately collapsed due to financial mismanagement, unpaid wages, and broken promises. The video details the key events leading to the downfall, including Iron Mouse's revelations about unpaid charity funds, the mass exodus of talents and staff, and the company's eventual shutdown. It also explores the aftermath, highlighting the community's support for affected talents and the various accusations and controversies that surfaced.
- VShojo's initial appeal was its promise of talent freedom, contrasting with the strict control of traditional Japanese agencies.
- The company secured $11 million in venture capital in 2021, signaling ambitious growth plans.
- Iron Mouse's revelation of unpaid charity funds and wages triggered a series of events that led to VShojo's collapse.
- Numerous talents and staff members came forward with stories of unpaid work, mismanagement, and broken promises.
- The community rallied to support affected talents, raising significant funds for the Immune Deficiency Foundation.
Intro: The Rise and Fall of VShojo [0:01]
VShojo, a VTuber corporation founded in 2020, quickly became a prominent agency known for its talent freedom. Unlike traditional Japanese idol-style agencies with strict corporate control, VShojo promised its talents creative autonomy. The company's ambitious vision was backed by substantial financial support, securing $11 million in venture capital in 2021 and assembling a roster of popular VTubers. Despite controversies and talent departures, VShojo maintained its image as an anti-corporate haven for creative expression until a major scandal caused its downfall in less than three days.
Warning Signs: Cracks in the Foundation [2:34]
In the months leading up to Iron Mouse's revelations, several warning signs indicated trouble within VShojo. Staff changes, quiet terminations, and abrupt departures sparked suspicion, but lacked clear explanations. Henya Matara's graduation announcement, phrased as a corporate decision rather than a voluntary departure, raised concerns about talent autonomy. The departure of key staff members, including the chief marketing officer, key artists, and the director of talent, further fueled rumors of internal issues. Zentraa's departure, one of VShojo's original members, was particularly shocking, given her staunch defense of the company in the past.
Iron Mouse's Bombshell: Unpaid Charity and Wages [7:17]
Iron Mouse announced her departure from VShojo, revealing that the company had failed to deliver $500,000 meant for her Immune Deficiency Foundation and owed her a significant amount in unpaid wages. She explained that streaming became her lifeline due to her rare immune deficiency, CVID, and she joined VShojo in 2020. She felt immense pressure and responsibility for the company's success. VShojo was supposed to pay the $515,000 donation on her behalf from her Twitch revenue, but a year later, she discovered they hadn't. This revelation shattered VShojo's image and sparked widespread outrage within the VTuber community.
Community Backlash: Accusations and Testimonies [11:56]
Following Iron Mouse's announcement, numerous accusations and stories surfaced, painting a disturbing picture of VShojo's internal culture and business practices. Shibuya Kjo, a Japanese media personality, shared her troubling encounter with a VShojo staff member, alleging unprofessional behavior and boundary violations. Other artists and collaborators came forward with claims of unpaid work, month-long delays in payments, and questionable business practices. A culture, a creative brand, shared their experience of pitching collaboration ideas, only to be offered a simple buyout instead of a real partnership. K9 Curo confirmed that he had never been shown the design, raising questions about internal communication within the company.
Layoffs and Contract Issues: Further Unraveling [15:59]
An anonymous VShojo employee revealed that the company had undergone mass layoffs months earlier due to mismanagement and poor financial decisions. Shily shared her experience of being approached by VShojo in 2023, detailing red flags in their contracts, including unfavorable revenue share models, demands for a cut of third-party deals, and refusal to sign a non-compete agreement. She also highlighted the company's reluctance to include promised offers in the contract and their refusal to allow her final say on content removal.
Talent Exodus: More Departures and Revelations [21:40]
Queson revealed that VShojo owed her a significant amount of money since September 2024 and that she was already planning to leave. She spoke with the CEO of VShojo's Japanese branch, who admitted that the money may have been used for operational costs and that the Japanese talents were not being paid. Michi Mochi announced her departure, stating that VShojo owed her a significant amount of unpaid money and that her heartbreak wasn't just about the money but about the betrayal. Zentraa admitted that she likely wasn't getting paid and that artists, musicians, and other talents had allegedly gone unpaid as well. Henya announced her departure, revealing that VShojo owed her a significant amount of unpaid funds.
The Final Straw: Remaining Talents Leave [29:42]
Every remaining talent began removing VShojo from their usernames, signaling their departure from the company. K9 Curo reflected on his time with VShojo, describing his first year as a dream but noting that cracks began to show in the second year. He revealed that he hadn't been paid for his debut merch until two years later and that only happened because internal staff fought for it. Made Minstream revealed that she had worked behind the scenes within the company for over a year and had never received any of the revenue from merch drops.
Earlier Departures Reexamined: Silverville and Neanners [33:35]
The video revisits the departures of VBE Silverville and Neanners in 2023, noting that rumors of tension and contract issues were circulating at the time. VBE hinted at deeper troubles, stating that she was under an NDA and couldn't legally badmouth the company. Neanners opened up about her time at VShojo, revealing that they owed her an amount equivalent to a Mercedes-Benz S-Class and that she had been swatted during a sponsored stream but never paid for it. She also shared that VShojo had an expired business license and discouraged her from using a lawyer.
Shocking Revelations: Silverville's Story [41:14]
Silverville, one of VShojo's founding members, broke her silence, revealing that she had signed a pretty aggressive NDA and that the company had bullied her into one of the most predatory contracts she had ever seen. She was told that she was a disappointment and harmful to the brand after being harassed online. The company even timed the announcements for their departure and slandered her behind her back. She revealed that the original contract lacked an exit clause and that VShojo owed her tens of thousands of dollars.
Broken Dreams: Aspiring VTubers [46:18]
Tori Orian, a VTuber who was supposed to be part of VShojo's Next Generation, found out at Ofkai that her dream job would never concretize. She had gone through a grueling six-month audition process, signed a contract, and poured thousands of dollars into building a brand, but VShojo never told her she wouldn't debut. Pia P, another aspiring VTuber, also passed the VShojo edition and was set to debut, but her dreams were quietly dismantled behind the scenes.
More Stories of Deception: Auditionees and Ex-Members [50:45]
Various testimonies emerged from people who had auditioned but never got in, detailing a pattern of being strung along with false promises only to be ghosted. Momo, one of the earliest known cases, reflected on her experience from late 2019 into 2020, when VShojo pulled the plug with vague reasoning after she had spent money and time prepping for her debut. Saiou, formerly Zion Lensa from Niji Sanji, shared how VShojo offered her a lifeline only to abandon her after her termination from Niji Sanji.
Financial Mismanagement and Allegations Against Gunrun [57:45]
A user revealed that a $2 million buyout offer for VShojo had been rejected just one month before the implosion. They alleged that investors had burned through almost $10 million chasing growth without building a sustainable revenue model. Serious allegations surfaced against VShojo's co-founder, Justin Ignasio, better known as Gunrun, with Hero 17 claiming he personally helped secure millions in funding for Gunrun, only for the company to become mired in the same kind of mistreatment it was meant to rise above.
VShojo's Response: A PR Spin [1:00:19]
VShojo finally released a statement, written by Gunrun, announcing that VShojo was officially shutting down. The statement was criticized as a PR spin rather than true accountability, with Gunrun framing their history as a noble experiment and vaguely addressing the missing charity money. Talents and ex-talents responded with anger and disappointment, calling out Gunrun's lies and betrayal.
Talent Reactions and Further Allegations [1:02:40]
Talents like Kesan and Iron Mouse expressed their anger and disappointment with Gunrun's statement. Ex-talents like Silverville criticized Gunrun for betraying the people who trusted him the most. Content Trius detailed her attempts to get a one-on-one conversation with Gunrun, which were met with corporate brushoffs. Giga criticized VShojo for using talent money on operating costs and prioritizing staff over talents. VBE revealed that VShojo had tried to bully her into one of the most predatory contracts she had ever seen and threatened her with a lawsuit.
More on MTD and Internal Culture [1:10:43]
Nanners shared that MTD had talked about Vay to her face at a party and painted her as a conniving, greedy mean girl. Atal Stan, Nanner's boyfriend, agreed with several of VBE's points, especially the part about the NDA and how VShojo obsessively monitored Vay's actions. He revealed that Iron Mouse had told him that MTD would tell her certain things about people, causing her to question her reality. He also shared his own firsthand experience with MTD, alleging that he forced him to drink tequila shots and that he had proof from other streamers attending their IRL parties that MTD would actively talk about him after he left the company.
DJ Wheat's Perspective and a Leaked Pitch Deck [1:18:51]
DJ Wheat shared a surprising business proposition he once received from Gunrun, a soft offer to join VShojo as CEO. He revealed that he had urged Gunrun to solidify a proper 5-year plan to ensure VShojo's long-term sustainability but picked up on red flags, namely what he called a non-COO COO situation. A Twitter user leaked a VShojo pitch deck, revealing that they lost $2.5 million in 2024 and that even with aggressive growth, they'd still not turn a profit. The pitch deck also included IRL photos of VShojo Nova talents in investors materials, exposing their identities to strangers.
Kesan's Continued Investigation and VShojo Japan's Statement [1:27:46]
Kesan continued to piece together the chaos, reacting to VShojo's Japan official statement, which she said was vague and avoided admitting any real wrongdoing. She recounted how talents were sending urgent questions that were completely ignored and that the bankruptcy process wasn't explained directly. She decided to treat everyone outside the talents as the enemy after being repeatedly lied to.
More Damning Revelations and MTD's Statement [1:31:56]
Kesan revealed that VShojo was so broke they literally couldn't even afford to file for bankruptcy and were asking talents to cover those fees. Nazuna revealed that VShojo never paid her a scent for merch sales. MTD dropped a statement talking about his time at VShojo, claiming he was never made aware that talent funds were being intermingled with company operated expenses and that he never had access to the bank accounts or financial budgets. He also revealed a failed merger attempt in 2024 and that golden parachutes of over $2.5 million each were being prepared for both the CEO Gunrun and the COO Daniel Sanders.
Conclusion: Community Support and Moving Forward [1:40:48]
Despite the chaos and betrayal, friendships were rekindled, and those aspiring VShojo members who had their dreams crushed banded together, launching their own collab stream. The community stepped up, raising over $155 million for the Immune Deficiency Foundation. The video concludes by emphasizing the importance of community connections and support in the face of adversity.