X-Pac Says Chyna Getting In WWE Hall of Fame with DX 'Is a Win'

WWE legend X-Pac understands why people are upset Chyna is going into the WWE Hall of Fame as a part of D-Generation X ... and not individually ... but he insists it's still a VICTORY for her.

"I totally understand where they're coming from," Sean Waltman tells TMZ Sports ... "Of course, she deserves to go in by herself."

But, Waltman -- who was engaged to Chyna in real life in 2003 -- says the WWE only has a limited number of people they can induct each year, and he believes they're doing the best they can.

WWE announced on Monday the main members of DX (as a group) will be included in the H.O.F. class of 2019. Meaning, Chyna will be enshrined with Triple H, Shawn Michaels, Road Dogg, Billy Gunn and, of course, X-Pac.

But, a swell of wrestling fans feel Chyna was such an important figure in WWE -- the first and only female Intercontinental champ -- that she shouldn't have to share the honor with anyone.

X-Pac says he understands the frustration -- but says Chyna would still be thrilled with the honor.

"I hope that the people who think this about her are still grateful that she's going in, because this is a win and sometimes we should take the win."

As for himself, X-Pac says he's grateful to be included -- and can't wait to get the gang back together!!!