How to properly billboard sprites & particles in Blender
Joshua Ader writes:
In this tutorial, we’ll be going through on how you can properly create sprite billboards in Blender. We’ll be going over how to create this effect on one sprite/object, and then how to apply it in a particle system.
Billboards are 2D elements in-crusted in a 3D world, which are always computed always automatically face the camera.

Seems like if the main sprite object is not centered to camera, all the other instances do not face the correct direction.
So I figured out that if you take an empty, parent it to the camera without inverse, move the empty in front of the camera straight in the z axis.
Then you copy position constrain the main sprite to the empty. You have what we all want.
It’s a big hack, but hey…..