There's no way in hell something this good got axed. Especially with a chapter like this one. Having a cute and cheerfully homicidal loli destroy your enemy's family jewels like that can only be said to be all kinds of cathartic to this manga's intended audience. And then, adding even more hilarity to it was the following page that shows all the onlooking boys' reactions. (And to have her ask if you and her are about to make babies now is just icing on the cake.)
It's an adaptation, so more likely than not it was just a promotional manga for the light novel. Which is a shame. Having the manga set this kinda tone from here on out? I could only imagine just how gloriously unhinged things in the LN get.
Hey, any LN readers out there? Just how unhinge does this story actually get? Remember to hide stuff under Spoilers.
The actual problem is the author seems to not really want to write this.
He gave up writing on the WN for a while. Just ending it in the middle of an arc, just after the author not only introduced major changes from the game story, but also explained why the MC reincarnated as the NTR dude, why the story had all these other games mixed in and even started introducing a plot line specific for the MC, not as the NTR dude, but as the MC. Then he just stopped.
Then when he published the LN, he spent so long inbetween Vol. 1 and Vol. 2 of the LN, that the entire manga adaptation finished Vol. 1 and ended before Vol. 2 could even be released.
Basically this manga, when it finished, adapted all of the LN that was released.