There are several approaches for modeling latent interactions (constrained and unconstrained product indicator approach, LMS, QML, ...). Although there are several simulation papers which show that for non-normal latent variables estimates may be (extremely) biased, all approaches assume continuous indicators. For linear SEM it seems to me that the “correct treatment” of ordinal indicators (eg. WLSMV-estimation in Mplus) becomes more common. But what is about this topic in nonlinear SEM?