I think in terms of being capable...I'd say there probably isn't a huge difference. However, ammo availability is WAY better with .223, and you can lob heavier bullets with it. If you hand load...that'll close up the differences even more, but overall, I don't know too many people who'd pick 204 over 223 for the job.
I'll be adding a 204 to the stable maybe later this year/early next...but that's because I already have a .223. I also find/found 223 to be WAY more forgiving when it came to finding a great load, what powder types it shoots well, etc. My first 204 was a ROYAL pain in the *ss...but I eventually figured-out what it liked to eat. Took 4 different powder types and at least as many bullet varieties. Can't imagine owning a 204 and NOT being a reloader. I would be discouraged seeing 1...maybe 2 factory ammo types on the shelf.
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