It's certainly workable from a manager or club's point of view but it's not always going to be enough to keep a player happy, or the parent club in this case.
Arsenal possibly would steer him towards an alternative destination where he would have a chance of more minutes, surely that's their main objective from the whole deal, and perhaps the player himself would look at it similarly, the more minutes he can play the more he can develop, etc. Then are sure to be a whole range of things to consider though, like there is with anyone making any career choice, so even if there was that concern it could turn out that there are enough other things in Wolves' favour to still make it the place to be.