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Interactive content at a website is a great add-on for an ebook, and often is licensed separately when pbooks include this content, i.e. if you buy a used copy of the book, you still end up buying the license for the web content.
Regarding the iLiad, yes, it can read password-protected PDFs. It has stylus input via an on-screen keyboard or a handwriting recognition line. I dislike PDFs for ebooks, but a password is one of the less onorous kinds of DRM -- as long as future versions of Acrobat continue to support the password feature. I've heard there can be problems with that.
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