The game begins with an animation depicting Bugaboo, a small, yellow creature with two extremely long legs, jumping around on a colourful planet before accidentally falling through a crack in the planet's surface and falling to the bottom of a cavern.
The player must control Bugaboo and guide him back to the top of the cavern, and out to the safety of the planet's surface.
There are only two control keys: left and right. When a key is held down a gauge at the bottom of the screen begins to fill up. When the key is released, Bugaboo will jump in that direction, with the strength of the jump being determined by how long the key was held down. The cavern is made up of various rocky ledges which Bugaboo may land on; however he can only stand on a flat area and, if a jump is mistimed, Bugaboo may end up on an angled area of rock, or miss the ledge altogether, which will cause him to fall straight down, landing on whatever is below.
Bugaboo may fall from any distance without dying. The only way for the player to lose a life is for Bugaboo to make contact with the large, yellow dragon which wanders around the cave. Bugaboo can escape the dragon by carefully leaping away, or by taking refuge inside one of the smaller caverns that are located around the play area.