Panagia tou Charou (Virgin of Death) is one of the oldest and most important churches in Lipsi. It is kown because it houses a remarkable icon depicting Virgin Mary holding the crucified body of Jesus. It is the only icon that does not depict Virgin Mary holding Jesus as a baby.

It is believed that this icon is miraculous. In 1943 the local people had placed in front of it some white lilies which some time later they died. On the 23th of August, when the church celebrates with a local festival, the dead lilies had miraculously blossomed into full-grown lilies, just as they do in Spring. This has been considered as a miracle and it is said that it occurres regularly each year since then!

The church has an interesting architecture. It looks like an island church with an austere Byzantine style.