This is the best chip music with guitars production/mix I've ever heard, by far: http://chipmusic.org/o2star/music/sadne erve-cover
Oh yeah, that's cool. Shame the vox didn't have a bit more welly though.
I've done it here:
https://8bc.org/music/combatdave/Untitizzled/
I used a couple of guitar tracks, running them through amplitube or something, and then I think I put one of them through Ableton Live's regular distortion effect. I think because it's not trying to model an amp or anything, it makes it sit a bit better with the square waves etc. Also, I think I put a little reverb/delay on both the guitar and the square waves to make it sound like they were in the same room. The concept sounds like bullshit, but I guess it works okay.