Yeah etched vinyl will have a picture or something laser-cut into it. The only ones I've had have been unplayable D-sides on 2xLPs (á la Brother's Blood) though.
if you look closely at the pictures, you will see that the monster guy from the prints is etched all the way around the outside of at least one side of the record. its a short enough album that id guess they had room on both sides for this happy little fellow.
to answer the first question, the record will still be playable, just not where the monster is.