What are the benefits of ERC-20?

Ah, ERC-20, indeed a pivotal aspect of the cryptocurrency and blockchain ecosystem. Could you elaborate on the benefits it offers? I'm particularly interested in understanding how it facilitates the creation and management of tokens, as well as its role in enhancing interoperability and security within the Ethereum network. ERC-20 seems to have become a widespread standard, so I'm keen to hear about its real-world applications and how it has contributed to the growth of the crypto space. Could you also discuss any challenges or limitations associated with ERC-20? A comprehensive understanding of its pros and cons would be highly appreciated.