I guess it could change the whole image if the last pixels are "000...000", which happens when the top-left corner has an opposite color to the bottom-right one.
Incrementing… So pixels at the bottom right of the image are the most likely to be flipped from the source image. Interesting. (Edit: Assuming big-endianness and left-to-right, top-to-bottom printing of the pixels/bits)
Nonetheless, yes, using this to create security keys would probably be a good way to lose your bitcoin. :D
Clearly the current implementation is not enough, but I wonder if there is a way to do this properly with actual security, and yet be reproducible for a normal human (we can assume the same camera and lighting).
Maybe some kind of marker in the image that is used for cropping and scaling?
Being able to see a particular image, and at a particular time of day (or indoors I guess), would definitely be an interesting security key.
(Hollywood: feel free to take this idea and do it badly :)