Oh yes it does! It is amazing. With the `--download-archive` option you can specify a text file where it stores which videos it already downloaded. So you can periodically make backups of your playlists without unnecessarily downloading videos that you already have.
I run a discord server for others downloading youtube content.
We maintain a list [1] of content that various members have archived, such that when content is removed from youtube, people can direct inquiries to contributors who have archived that content. It's a small way to keep track of what things have been successfully archived.
We are currently organizing some efforts to find and download unlisted videos.