What is the best (thoroughly covering) textbook for application of LFSRs in cryptography?
(Beside Cipher Systems by Beker & Piper)
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You can start with chapter 6 of the Handbook of Applied Cryptography (which can furthermore be downloaded for free). But a rough summary is that LFSR are much less used nowadays in cryptography than what they used to be; most LFSR-based stream ciphers turned out to be weak in some way. The main advantage of LFSR is that they are extremely cheap to implement in a circuit (e.g. a dedicated ASIC), but the World at large is increasingly shifting towards software: we now put full 32-bit ARM cores in smart cards, and encryption algorithms follow the trend by being optimized for low-end software platforms.