After the Ironmouse incident more and more VTuber left VShojo, which lead to the Agency shutting down.
On July 21, Ironmouse announced that she leaves VShojo. The company failed to pay out many of their streamers and even failed to pay $500.000 meant for charity. Once their bad business practices came to light, many other VTubers also left or announced their upcoming departure.
— VShojo (@VShojo) July 24, 2025
Only three days after Ironmouse's statement, VShojo's CEO Justin "Gunrun" Ignacio posted a statement about the situation and announces that VShojo is shutting down. In the statement, he acknowledges that the company spent money raised by Ironmouse, which he "later learned was intended for a charitable initiative".
Objection By The Community
Fans were fast to rebute the claim that Gunrun had initially no clue that the money was meant for charity. Many pointed out that he retweeted multiple posts about Ironmouse's charity stream while it was breaking records. He even personally congratulated Ironmouse afterwards.
Guys, Gunrun DIDN'T know at all that the money was meant for charity! pic.twitter.com/50VtzMMv2h
— LisjusticeVtuber (@NarwhalQueenLis) July 24, 2025
Youtuber Penguinz0/moistcr1tikal assumes that this practice might fall under the financial crime embezzlement, which involves theft of a company or employer. Whether or not this is the case is yet to be determined. Ironmouse seems to be taking legal steps against VShojo and once this is resolved, we might hear all the details involving the companies bad practices.
Whether or not the VTubers will ever receive the money they are owed is questionable, since Gunrun mentions in his statement that the company "ran out of money."