Raiden: only for ERC20 transfers?

Question

Is Raiden network only suited for ERC20 token transfers? Does / will it support other token standards (e.g., ERC223) or simple ETH payments?

Answer 1

Yes, currently only ERC20 tokens. For one thing, it uses the approve()/transferFrom() mechanism that ERC20 provides, but ERC223 doesn't.

However, other non-ERC20 tokens and Ether itself can fairly simply be wrapped into ERC20-compliant tokens using smart contracts (E.g. you send the contract some Ether; you get back some ERC20 tokens that you can convert back to Ether at any time via the same contract at a 1:1 rate). So this limitation is not as severe as it may seem initially. This process could even be automated by the Raiden client or netting contract.