I can generate images in the stable diffusion webpage, just not the game
As you said, forge can generate images on its own. Try typing 1girl in the prompt and generating it.
Possible next steps:
1. If image generation does not work, run it once with the --reinstall-tourch flag (then remove this flag).
2. If generation works, I will need your game logs.
%appdata%\Godot\app_userdata\Character Matrix\logs
OR
C:\Users\{Your username}\Godot\app_userdata\Character Matrix\logs
Yes, I need the most recent one where you visited the market, based on the creation time.
If you can't attach the full file from itch, here's a link to https://pastebin.com/