Quick answer: Y-Billboard rotates around Y only; near-vertical camera angles produce gimbal-style flips. Switch to Enabled (full billboard) when the camera is near vertical, or clamp camera pitch to avoid the singularity.

Top-down hybrid camera looks down at sprites. As you tilt steeper, sprite Y-rotation jitters or flips. Y-billboard hits a singularity.

The Symptom

Sprite3D with Billboard = Y-Billboard rotates wildly when camera is nearly directly above. At normal angles, it’s fine.

The Fix

Sprite3D Inspector:
  Billboard:        Enabled (or Y-Billboard if camera stays moderate)
  Pixel Size:       0.0625     # 16 PPU
  Alpha Cut:        Discard
  Render Priority:  0

Full Billboard rotates around all axes; no singularity. For a strict 2D-in-3D look you may prefer Y but accept clamped camera angles.

Clamp Camera Pitch

If your design requires Y-Billboard (sprite always upright):

$Camera3D.rotation.x = clamp($Camera3D.rotation.x, -1.4, -0.2)   # avoid near-vertical

Pixel Snap

Project Settings → Rendering → 2D → Snap 2D Vertices To Pixel. For 3D pixel-art, use a low-res Viewport with integer scaling. Combined with Pixel Size, sprites look crisp.

Verifying

Tilt camera through full angles. Sprite stays oriented without flipping. With Y-Billboard at near-vertical: jitter; switch to Enabled or clamp pitch.

“Pick billboard mode for camera range. Avoid the singularity.”

Related Issues

For Godot rendering method mobile, see mobile renderer. For pixel-perfect, see Godot CanvasLayer z order.

Billboard mode for camera. No flips.