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this article describes how Mixamo rigged Characters can be Imported into Unity to work with VRchat. It is based on this amazing Blogpost: http://vrchat.wikia.com/wiki/Quick_Start_-_Mixamo_Avatar_Creation
The Unity Add-In is supposed to block you from uploading imporperly rigged Characters. If however you fixed the Prefab after importing it, you can end up with your character not beeing animated.
How to change the Bone Structure
Cheers, Ori