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But if it's an entitlement to a % of profits, then it is much more like equity.

It's a contract to get dividends on a loan that is based on speculation of profit (not tied to any assets). So, yes, a worse version of equity in a startup.

> a worse version of equity in a startup

Minus the enforceability or equity and bond claims. So a combination of the worst elements of equity and debt plus additional negatives. Financial innovation at its finest...

It being blockchain based makes it innovative. I mean, it's linked lists 2.0: electro bugaloo

It's a profit participating loan (PPL)

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