She's skeptical and has some questions.

"...a Sex Genie?" Tsuyu croaked in bemusement. "That doesn't sound... plausible. Ribbit," she stared skeptically at Izuku and Momo.

"We live in a world with Quirks, which are basically superpowers, and you find that hard to believe?" Setsuna questioned with some amusement.

"Quirks aren't magic," Tsuyu deadpanned at Setsuna, who raised a finger to reply, before realizing that Tsuyu had a point, Quirks did have scientific explanations behind them while none were forthcoming for a genie.

Momo giggled. "Well, you're right. Magic doesn't exist in this universe, though it does in the wide, wide multiverse. Here, my powers do work according to the laws of physics... just... beyond advanced laws you couldn't hope to understand. I'm not insulting your intelligence by saying that, but they seriously make quantum physics look like beginner's mathmetics in comparison. And that's when it's dumbed down. Just ask Principal Nezu."

"You tried to explain it to the principal, ribbit?" Tsuyu blinked as she looked at Momo.

"He tapped out after twenty minutes," Momo giggled, making Tsuyu's already large eyes widen. She hadn't interacted with Nezu much, but she knew he was probably the smartest person on the planet.

"Oh man, I would have paid to see that," Setsuna laughed.

"All Might had a picture of it, but Nezu hacked his phone," Izuku told Setsuna apologetically. "It was even deleted from the Cloud."

"Ah..." Setsuna pouted as Tsuyu watched with interest.