Hi,
short answer, this won't work! The PCF8574 has a very simple (almost trivial) I2C protocol and no configuration registers, no special commends etc.
The device you mention has a complexity comparable to the MCP23xxx series expanders with specific command registers, output direction registers, banks etc. This is much more work, just compare the amount of driver code needed for the PCF8574 with that for the MCP23xxx chips.
So, to get a driver for it, forget about PCF8574. You have to implement this in the way like the MCP23xxx drivers are coded. You may be able to implement your driver as a subclass of one of the MCPxxx classes, but as your device is from another vendor there is a high chance, that the commands to configure and read/write the MCP23xxx devices do not work for the PCA one.
So, you will have to create a new PCA9698.py in the digital subfolder, take the MCP23xxx.py as a kind of learning template and implement all methods needed to be overloaded (those with the __ at the beginning / those that produce a
NotImplementedError in class GPIOPort). And you have to add the new driver file with a correct entry in __init__.py of the digital subfolder. Also, don't change the code in the directory you mention above, do it in the original
source directory that was created when untaring the downloaded installation file and call ./setup.sh to install and test your work.
This all can be done if you are experienced enough with Python and I2C drivers protocol, but this is nothing for a beginner. And, to be honest, neither me (or Eric) will have currently the spare time to explain you more details about driver development
or debug your code if something goes wrong or does not work repeatedly.
Alternatively you can ask Eric if he would write a driver for the device if you make a donation to him. Or just use an expansion card that uses chips that are suppoprted already ....
Andreas