Security of the multimedia data including image and video is one of the basic requirements for the telecommunications and computer networks. In this paper, we consider a simple and lightweight stream encryption algorithm for image encryption, and a series of tests are performed to confirm suitability of the described encryption algorithm. These tests include visual test, histogram analysis, information entropy, encryption quality, correlation analysis, differential analysis, and performance analysis. Based on this analysis, it can be concluded that the present algorithm in comparison to A5/1 and W7 stream ciphers has the same security level, is better in terms of the speed of performance, and is used for real-time applications.