EIP55

EIP55, or Ethereum Improvement Proposal 55, is a specification designed to enhance the readability and uniqueness of Ethereum addresses. Introduced in 2017, it addresses a common issue where lowercase and uppercase letters in addresses could appear identical due to the case-insensitive nature of the Ethereum network’s underlying protocol. This ambiguity could lead to confusion, errors, and potential security risks, such as accidental transactions to incorrect addresses.

The proposal standardizes Ethereum addresses by converting them to a consistent case format. Specifically, EIP55 introduces a checksum algorithm that capitalizes certain letters in an address based on their position in the address and their corresponding checksum value. This ensures that each address has a unique representation, making it easier for users to verify addresses manually. For example, an address like "0x71C7656EC7ab88b098defB751B7401B5f6d8976F" would remain unchanged, while a similar address like "0x71c7656ec7ab88b098defb751b7401b5f6d8976f" would be converted to the same checksummed format.

EIP55 does not alter the underlying functionality of Ethereum addresses but improves their visual distinction. It is widely adopted by wallets, exchanges, and other Ethereum-related services to ensure addresses are displayed and verified correctly. The proposal is backward-compatible, meaning existing addresses continue to function as before, but their checksummed versions are now the standard for clarity and security.

The implementation of EIP55 is optional for nodes and clients, but its adoption is encouraged to maintain consistency across the Ethereum ecosystem. By reducing human error in address verification, EIP55 contributes to a more reliable user experience.