Yes. 5.56 FMJ bullets will disintegrate upon impact with just about anything, lowering the chances of collateral damage. Excerpt from a recent Rifle Shooter article:
"It is a surprise to many people that the round that works best for going through walls is the 9mm. With relatively higher velocities, the .223 bullets generally break up upon impact, even when hitting a thin sheet of drywall. The resulting small fragments quickly lose their energy. Bullet selection plays a part in this, but even the toughest FMJ bullet tends to virtually disintegrate when it hits wood or drywall at 3,200 fps....
With most of the .223 ammo screaming along at more than 3,000 fps, the bullets are prone to flying apart when they impact virtually any medium. Even FMJ ammo breaks up dramatically when it hits sheetrock at these velocities."
Full text here:
http://www.rifleshootermag.com/featu...les/ar_patrol/