Im sorry, but I just dont think yama-jin is dead yet. The panel said handou 96 (sacrafice something fire or w/e) then showed yamas arm black, chard with cracks in it which IMO could suggest he only sacraficed his right arm for that attack. I mean yama-jin is so powerful that if he really sacraficed everything with that attack then the entire karakura complex shouldve been wiped out considering how powerful yam-jin is.
I think the hadous power was only as strong as it was because yama merely sacraficed his arm, not his whole body/life. Lol, Seriously, would yama-jin really die before revealing his bankai even once?? At least now he will be severly weakened with only one arm so he wont be a god when he fights with his bankai (plot device