In cryptography, RC2 is a block cipher designed by Ron Rivest in 1987. "RC" stands for "Ron's Code" or "Rivest Cipher"; other ciphers designed by Rivest include RC4, RC5 and RC6.
The development of RC2 was sponsored by Lotus, who were seeking a custom cipher that, after evaluation by the NSA, could be exported as part of their Lotus Notes software. The NSA suggested a couple of changes, which Rivest incorporated. After further negotiations, the cipher was approved for export in 1989. Along with RC4, RC2 with a 40-bit key size was treated favourably under US export regulations for cryptography.
Initially, the details of the algorithm were kept secret — proprietary to RSA Security — but on 29th January, 1996, source code for RC2 was anonymously posted to the Internet on the Usenet forum, sci.crypt. A similar disclosure had occurred earlier with RC4. It is unclear whether the poster had access to the specifications or whether it had been reverse engineered.