I should write an official guide for this
First, you are using “Podigee Transcript” for the asset, which is txt, not vtt. You may need to add it manually if you don’t see it in the asset screen. In Expert Settings > File Types
:
Then you can create the asset:
And assign the asset to be used for transcripts:
Then the import using the Transcript editor in the episode should work and the web player integration as well.