As far as I just tested the DLC for this game works ~ but might have a slight issue.

First of all you need an updated game and that's it for the the DLC to work(requires real PSP to do since the updates cannot be decrypted due to missing keys), however with updated game there are 2 options, one launches updated game with some new modes and another option which loads basic game. The basic game option simply returns to the selection after trying to load, I'm guessing it's because we have to patch the iso instead of loading the update from the game folder loosing the basic game executable:]. Maybe some sort of system to load decrypted update file from the game folder(still would need psp to decrypt the file;p) instead of having to patch games with update files could be required to solve this. (updates store the problematic encrypted game executable in PBOOT.PBP)

Edit - just some screenshots to show it works, I'm going to work so can't really check the problem with original mode becoming unavailable now ;p

Description:

Povesti in limba romana. Bleach: Heat the Soul 7 is a Fighting video game published by SCEI released on September 2, 2010 for the PlayStation Portable.

This is by far the game with most characters on the series, stacking up to 84 playable characters both from previous games exclusively new to this version.

The most notable addition to the series is the new mode that allows 4 players battles simultaneously.

v1.01 UPDATED ISO included:

To use the v1.01 ISO you must also download the game DLC (the game won’t start otherwise). Go to the DLC page get Bleach: Heat the Soul 7 DLC and extract it on /PSP/GAME/ then you can play.

DLC Contents:

• Shuren (character)
• Aizen Hueco Mundo Conquest Mode
• Specials Voices
• Soulcode that gives you 3 bars of health and random effects to your opponent like take a bar off of energy and also you regenerate health

Screenshots:

Bleach: Heat the Soul 7 (+v1.01) (Japan) PSP ISO Download