Ethereum address is not formatted properly
When inputting a receive address, or when scanning a QR code, into the Exodus Ethereum (ETH), Ethereum Classic (ETC), or any Ethereum-based token "Send " input area:
You may encounter a message like this:
Warning! The address is not formatted properly. Please double-check each character in the address.
If you send to a wrong address, your funds cannot be recovered!
Ethereum addresses have a mixture of upper and lower case letters, and they are case sensitive! For example, here is a valid receive address for ETH: 0x507877C2E26f1387432D067D2DaAfa7d0420d90a. If you were to alter one of the letters in the middle, 0x507877C2E26f1387432E067D2DaAfa7d0420d90a ('E067' instead of 'D067'), Exodus will catch this and not allow it to pass. The reason is because we internally run what's called a "checksum" on the address itself to verify the internal integrity of the address. Exodus will not allow addresses which fail the checksum to pass.
However, if you were to change the case of the address, for example, like so: 0x507877c2e26f1387432d067d2daafa7d0420d90a (all lower case letters), it would technically still be the same address. However, the checksumming is completely defeated and there is no way Exodus can tell if the address is good or not. The above address will work; however, this address, 0x507877c2e26f1387432e067d2daafa7d0420d90a (altered so that the 'd067' is now 'e067'), would only appear to work. Exodus used to allow the altered, lowercase address to go through, but your funds would go nowhere and be lost forever.
What Exodus now has is the ability to test the address and make sure it is "mixed case." This allows you, the user, to be certain the address is being checked for correctness, and will prevent you from accidentally sending funds to a malformed address and losing them forever!
We have had a few users lose money by scanning QR codes (from the Jaxx wallet in particular) that are invalid, so we want to prevent this from happening in our wallet. If you get this message, it is because the address is malformed and should not be used. Check with the wallet maker which generated the address and ask them for quality control to ensure their addresses are mixed case and "checksumable."
This also applies to all ERC-20 tokens as well, such as Aragon (ANT), Golem (GNT), Augur (REP), EOS, District0X (DNT), etc.