https://www.youtube.com/watch?v=9UBf0iuQA1g
Grab XDSL 7.0 here: https://www.xbmc4xbox.org.uk/forum/viewtopic.php?f=12&t=566&sid=219102806e3e01a7ce84724c64a77321
Once inside XDSL go to "mydsl" and then inside "System" install Wine.
Now go into the systems panel and go to sound, click yes to deactivate whatever is running, this will make sound work, it seems it doesn't work by default.
open firefox and download https://archive.org/details/GrimFandangoDemo go into the file manager, rename .exe to zip and unpack, right click on grim demo exe and pick run with wine.
Simple as pie, most games will not run using this wine method cause the wine in Xdsl is ancient and there doesn't seem to be any 3d acceleration in wine (maybe somebody can port the latest wine to xdsl?) so grim runs i think in some sort of 3d software mode, but it's full speed.
You will need to solder usb ports to your fourth joystick port to use a keyboard/mouse to play grim fandango (thats what I did aeon ago) or buy a joystick2keyboardmouse adapter.