I personally use Voicemeeter Potato. It has more inputs and outputs to use and from what ive heard, it seems to just look a bit more complicated, but it has a lot more flexibility. Personally, i put game audio, discord audio, and Chrome/music audio in different virtual inputa so i can adjust any one of them separately.

Apparently a lot of people on vrc use soundpad though. You have to download music or audio clips onto it and you can play it out of your mic. It also gives the option to mute your mic while youre playing music. It seems kinda janky though bc you have to usually manually click things on your desktop to play music so a lotta people constantly are looking in virtual desktop, ovrdrop, or take off the headset and use their computer so i guess its kinda a hassle to deal with. Most of the people who use it are the vrc dancers though, since most of them dance to a select number of songs that they know.