The ERC20 token standard has become famous for its role in creating new cryptocurrencies on top of Ethereum, which are usually sold to the public in ICOs (Initial Coin Offerings). In 2017, ERC20 tokens have already raised more than $1B from the public. But the ERC20 standard has several drawbacks which a new standard, ERC223, aims to repair:
1.The lost token problem - when people send funds to a contract by using the transfer function (instead of approve and transferFrom), funds are lost and cannot be retrieved. The ERC20 standard doesn’t include a refund function for these cases and the transferred tokens are lost. So far this implementation has resulted in the loss of $400,000 worth of Ether.
For example if you send 100 ETH to a contract that is not intended to work with Ether, then it will reject a transaction and nothing bad will happen. If you will send 100 ERC20 tokens to a contract that is not intended to work with ERC20 tokens, then it will not reject tokens because it cant recognize an incoming transaction. As the result, your tokens will get stuck at the contracts balance.
How much ERC20 tokens are currently lost (27 Dec, 2017):
QTUM, $1,204,273 lost. watch on Etherscan
EOS, $1,015,131 lost. watch on Etherscan
GNT, $249,627 lost. watch on Etherscan
STORJ, $217,477 lost. watch on Etherscan
Tronix , $201,232 lost. watch on Etherscan
DGD, $151,826 lost. watch on Etherscan
OMG, $149,941 lost. watch on Etherscan
STORJ, $102,560 lost. watch on Etherscan
2.Energy waste - In ERC223, token transfer is a one-step instead of two-step process, using 2 times less gas and causing less blockchain bloat.
3.Allowing developers to handle incoming token transactions - For instance, allowing to automatically return funds to source.
WHAT IS YOUR OPINION ?? ARE THERE ALREADY SOME ICOs working on ERC223
