As the error message says
An invalid XML character (Unicode: 0x1d) was found in the CDATA section.
So, remove the bad character and both yEd Live and the yEd Desktop will open your file.
The simplest way to remove the offending character is opening your file in a text editor that displays character outside the ASCII range (e.g. GNU Emacs and Notepad++ do so), step through the CDATA sections until you find one that displays something strange (which will be the offending character).
Alternatively, open the file in a hex editor, search for "0x1d" (without the quotes), and remove it.