So, the advantage of this scheme seems to be that you don't have to wait for the end of a transmission block before doing error correction and extracting your d

So, the advantage of this scheme seems to be that you don't have to wait for the end of a transmission block before doing error correction and extracting your data. But, we have error correction schemes which work well with fairly small blocks of data. It seems to me that this isn't a saving in network comms, where the delay for a few hundred bit-times is outweighed by other delays. Maybe it will be useful for buses inside chips.