It doesn't matter if Niji is just comically inept/evil and out of the norm for vtuber corps, westerners and normalfags will blame japan and corps as a whole regardless.
That's why Holo and Holofags and even the Hololive EN talents themselves should worry about NijiEN imploding, a receding tide sinks all ships. Or rather, there's only one boat that everyone is sitting in, and wishing for holes on the other side of the ship doesn't improve anything for vtubing. Vtubers are basically all in it together but tribalism and bad apples like anikara have made that a difficult reality to see.
The peanut gallery will blame shit like "idol culture" and "japanese corporate culture" or say that's just how the japanese are and that'll harm corps like Cover even if they do things way better comparatively. They won't see Niji vs Holo, they won't consider the nuance or difference; all they see are japanese corps and a foreign subculture and they'll lump them in together.