Interestingly, it means there's no more Riot stock. So for employees, share based performance incentives now can only be paid in cash.

It sounds like a net benefit to employees - they get a liquidity event and their future bonuses/compensation are more predictable (esp since Riot was never going to IPO).

That's not how stocks work there are different types/classes of stock and different types of options. They can still give employees non voting stock and issue ESO's. It's quite rare to issue full equity with voting rights to employees. ESO's generally have quite strict vesting and are non-transferable so this is pretty much a company wide ETO incentive bonus.

"This allows us to move away from a Riot equity program towards a cash based incentive program that allows Rioters to share in Riot's success."

sounds like you're describing what they had in place before, but now they will only do cash. i don't know what 'ETO' is either