Hey David. This graphic looks great! I have a few of comments:
It would be helpful to describe to the reader what they're seeing. For example, "This is a diagram with 2 peg-in and 2 peg-out transactions of the EB." This can be told to the reader prior to displaying the graphic or as a description text at the bottom of the graphic.
In the LTC & Peg-In Transactions box, it might be helpful to clarify that the bottom half is a peg-in transaction in the diagram. It also would be helpful to specify the kernel commitment.
In the Integrating Transaction(HogEx) box, it'd be helpful to be more specific describing what the "coins" refer to.
Rendered: https://github.com/litecoin-project/lips/blob/3ab60c5f4883cb913bbc85c19d1142295ed705f1/lip-0003.mediawiki