External dataset & Power BI embed

Hello, 

I am an UI/UX designer working on an application that needs to offer the ability to create, edit and view reports. We plan to use Power BI embed as an analytics tool we can embed in the application. 

We are trying to figure out if it is possible to use Power BI embed and make it reference a dataset uploaded by an user in the application?

For example, is it possible to achieve the following: 

• An user uploads their own dataset in the application
• They process it according to a set of rules 
• Then use that dataset to create a new report using Power BI embed edit mode   

I tried to research the topic but I can not find a conclusive answer and examples if what we need is actually possible with Power BI embed. It seems as no matter what, any external dataset used in a report should first be added via Power BI desktop and only after that referenced in the Power BI embed.