I'll bet E85 compatible just means that the fuel system materials won't be attacked by Ethanol, and the flow rate can be jacked up the the required 2X relative to gasoline. Ethanol has an Octane rating of about 113. An Ethanol optimized engine has a higher compression ratio and runs more timing advance than a gas engine. A production engine that must run on straight pump gas doesn't take advantage of these optimizing factors, and so energy in the Ethanol is wasted.
Then too, there is still a lively debate as to whether Ethanol is a net energy positive of negative. IMHO, the only plus to Ethanol is that one could produce the fuel themselves.
Double Quarter Pounder with Cheese: 730 calories
Large Coke: 310 calories
Large Diet Coke: 0 calories
So if you order a Diet Coke instead, you cut out 30% of the meal's calories. That seems to make quite a lot of sense.
"Produce the fuel themselves" = PRISON!
BATFE in no longer primarily know as the "revenuers", but the "A" still stands for "Alcohol"
They actually post on the ATFE web-site that it is illegal for school children to conduct a science experiment that might produce a tea-spoon of alcohol, unless they obtain a license from ATFE first!
Start making your own fuel and the real experiment will be to see if you go to jail on a variety of charges, or are simply killed first.