best android version and distribution for my new hardware

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Aug 2, 2016 4:19:55 AM via Website

Hello Folks,

I'm not sure it is the best forum for my question but it is a start.

Well, I'm in charge of bring up Android on a new hard (actually old) it is a ARM 7 600 MHz with 256 MB RAM (possibly 512 MB RAM), 256 MB NAND, and 240x230 color screen.

It is not a phone. It is a device running a specific POS solution.

I would like to know a suitable Android version to use. Is it possible to run Android 6.0 and still have good/smooth user experience. I think Android 4.4 is my second option, If I have to downgrade to 2.3 I will be forced to upgrade my hardware.

What would be the best Android to port. Android OS? Cyanogen? Other mods? Which one? (I need security). Is there any license/legal issues using such distribution on my product ?