This doesn’t really install it, though, you can’t update or permanently edit and config, set up users, or anything like that. I would guess OP wants something more like booting the ISO in a VM, allocating a thumb drive to that VM, and then installing a full system to it with a boot loader.
Have you tried kitty? It’s seriously nice if you can live with the occasional “oh no I sshed to a server that doesn’t have the correct terminfo files and now none of the normal terminal navigation features work”