https://www.candlepowerforums.com/vb/showthread.php?366975-CR123A-and-rechargeable-substitutes
EXCERPT
The 3 common ways to make a RCR123/16340 battery is:
Use a normal LiIon battery with LiCoO2 (ICR) or LiMn (IMR) chemistry in 16340 size, preferable with a protection circuit (This might make the battery to long). This battery will have 4.2 volt fresh of the charger and will be empty when the voltage is down to about 3 volt. This voltage does not match very well with CR123 that has a maximum voltage of 3.2 volt and is below 3 volt when loaded.
Use a normal LiIon battery in 16340 size, but add a diode in series with the battery. This will reduce the output voltage with about 0.6 to 0.7 volt. The voltage will be close to CR123, but still too high and the diode will heat the battery at high loads.
Use LiFePO4 (IFR) chemistry, this chemistry has a lower voltage than normal LiIon, but also less capacity. It does also survive over discharge better, i.e. protection circuit is not that important.
All of the 3 battery types above, does have different charger requirements:
These batteries can be charger on any regular LiIon charger, i.e. 4.2 volt max. and 3.6 or 3.7 volt nominal.
Due to the diode, the charger must supply higher voltage to get full capacity, but they can be charger with a regular LiIon charger.
This chemistry requires a 3.6 volt max. charger, they are usual marked 3 or 3.2 volt.
https://www.candlepowerforums.com/vb/showthread.php?352608-RCR123A-3-0V-or-3-7V
https://batteryuniversity.com/index.php/learn/article/types_of_lithium_ion