They don't need to sync for it to be a serious weakness in a cryptosystem. If a system using Khoth's PRNG sends out a billion encrypted messages in its lifetime, then an attacker with the PRNG key needs less than 2^30 tries to decrypt a message sent at an unknown point in that sequence -- a large number, but more than manageable when you consider that a PRNG with a period of 2^80 would be considered weak in the crypto world.
Agreed.
One of the most interesting debates on Less Wrong that seems like it should be definitively resolvable is the one between Eliezer Yudkowsky, Scott Aaronson, and others on The Weighted Majority Algorithm. I'll reprint the debate here in case anyone wants to comment further on it.
In that post, Eliezer argues that "noise hath no power" (read the post for details). Scott disagreed. He replied:
Eliezer replied:
Scott replied:
And later added:
Eliezer replied:
Scott replied:
And that's where the debate drops off, at least between Eliezer and Scott, at least on that thread.