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Hi Paul,
The way I understand it, it is trying to to crack a code, by trying different "keys". It's perfectly legal and it's only a contest. The thing is if you are on the winning team and/or you find the winning key that cracks the code you win some money. RC5 is just another distributed computing project, just like SETI@home if you've ever heard of it. Hope this helps and let me know if you have more q's.
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