How difficult is it to get a key using simple XOR Recently someone gave me an algorithm as follows:

XOR = Key XOR Random1 XOR Random2.

They think that in order for someone to extract "Key" from XOR they would need Random1 and Random2.. but looking at the above algorithm, i think it should be fairly easy for someone to guess or extract the Key w/o Random1 and Random2. The data is just 256 bits long.

Thoughts?
That "algorithm" is fine, as long as the random values cannot be guessed by an attacker. The scheme is known as (trivial) secret sharing.

XOR with completely random data is called a one time pad or OTP. The security of the algorithm therefore depends on the random number generator. Of course there are additional operational requirements to obtain system security (if somebody just distributes his share of the key ...).