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>>253712
Some Copy Pasta......
"A GIF file employs lossless data compression so that the file size of an image may be reduced without degrading the visual quality, provided the image fits into 256 colours. (However, there is a hack that can overcome this limitation under certain circumstances; see True Color.) The GIF format's 256-colour limitation makes it unsuitable for photographs, though losslessly compressed photographs tend to be unacceptably large for the web anyway."
Source: http://en.wikipedia.org/wiki/GIF
I would imagine the issue your having with that Katamari video is the immense amount of colours, most GIF programs will substitute one color another colour to ensure that it makes use of the 256 colour pallette.
Try a shorted video maybe 2 - 3 seconds and see how the quality comes out. You should see a visual improvement.
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