I was under the impression that Google likes to have their adverts clearly separated out from content so that people don't accidentally click on the adverts thinking they are articles.

For a 'pinterest' style layout where you only see the one page and a few pop ups over that one page, you could mix in the adverts with the content, as demonstrated with the two adverts slap in the middle on this site:

Clearly this can be done and it exists in the wild, with Google adverts being supplied to the site.

However, is that against the spirit and/or the letter of what one signs up to with Adsense?