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.