"I'm pretty excited to be able to announce that a key as short as 38 bit for a standards-based Polymorphic Cipher remained uncracked in a public challenge. 38 bit is well below the former 40 bit limit for encryption products in order to exempted from export restrictions. ", says C.B. Roellgen from PMC Ciphers.
More information and can be found at:
http://www.pmc-ciphers.com