Pegasus punishes Yugi using the same Toon Deck and mind-reading abilities he used on Kaiba.  As Pegasus turns Yugi’s monsters against him, Yugi loses the will to battle.  Will Pegasus capture Yugi’s soul into a card, just like Kaiba?
Due to Gorgon's Eye's effect, you lose 500 life points, which is equal to half of Horn Imp's defense points.