I've written the first proof-of-mistake crypto token on top of Ethereum. You can see it at http://www.lostethereum.com/
It's basically a proof-of-burn substitute for users who mistakenly sent to the wrong address. It requires a web3 enabled browser, i.e chome with MetaMask, Parity, Mist, etc. This let's the web interface seamlessly interact with the Ethereum network.
Let me know what you guys think.
> This balance is reduced by the edit distance between the string representation of the two addresses. A one character diﬀerence yields 100%, 2 characters is 50% and 3 characters is 33% of total amount.
I'd be more happy with an exponential reduction, something like 100%/50%/25%.
An error with 4 characters gets 0%? (I hope that an error with 19 characters gets 0%.)
> The contract has a 1% inﬂation rate over found Ether to compensate the author.
I think that "inflation" is the wrong term here. Probably "commission" or "discount", but English is not my first language. Inflation is when you get the discount every year / month / day.
It's inflationary in the sense that the total LOST tokens is the total amount of Ether + 1%.