Paparazzi is one of three characters who hang out in the Castle’s library. He’s easy to spot, as he is a giant moth. There are not that many of those.
His role in the Castle is to keep track of the various collectible items you run across on your way through the game, as well as other vital statistics. This is valuable in that Paparazzi tracks several factors that eventually lead to Trophies being unlocked, such as Item Hoarder and Marathon Demon.
What Paparazzi doesn’t collect, Memoria does. She’s the Witch standing nearby in the library. You can talk to her to view any of the events you’ve unlocked over the course of the game, such as conversations, movies, and Etna’s “previews” of the next Episode.
Item Collection Records
When you run into an item that you’ve never had in your inventory before, its icon has the word “new” flashing over it. This signifies that the item, in that particular rarity, does not yet appear in your Item Collection. If you’ve got a common version of the item and find a rare or legendary edition, the rare or legendary item will still show up as “new.”
Collecting at least one of every item in the game unlocks the Item Hoarder Trophy. The Trophy doesn’t require that you have a certain quality, but rather that you don’t have any entries in your Item Collection Records that are listed as “????”.
Netherworld Records
Paparazzi keeps track of various facets of your career, such as the most damage you’ve ever done with a single attack, the number of enemies that your characters have defeated, and how many times your characters have had to be revived at the Netherworld Hospital.
Character List
This contains a short biography and cultural history of the generic characters that you’ve recruited and unlocked.
Special Skill Movie Records
The first time you see a Special Skill and watch the associated animation, you unlock its entry in Paparazzi’s records. Simply having access to the Special Skill isn’t enough; you must have actually cast it during a battle or had it cast against you for it to appear at the Data Shop.
Watching every Special Skill animation, including the ones that are used against you, unlocks the Special Voyeur Trophy.
Ending Records
This entry on the Data Shop’s menu records and confirms that you’ve gotten D2’s various endings. To watch the ending movies again, however, you’ll need to go next door and talk with Memoria the Witch.
Music Collection
Now you know why the Castle’s jukebox is broken. It’s because Paparazzi took its place.
You can use the Data Shop to play any musical track that you’ve heard before in-game, and even set them up with a random playlist. This also allows you to set the background music in the Castle to any other track that you’ve heard so far.