Edit: I misread the post; my bad. The post effectively uses a bit vector to store the last N chars in a window, and the bit vector happens to fit in a single machine word. Also, XOR happens to be a good way to update the bit vector, because it turns out it's sufficient to store how many times each character appears in the window mod 2.
So to be clear, my "demonstration" above only works because the ASCII representations of e, f, and g are not linearly independent with respect to xor. However in the article, the representations of all of the characters are chosen to be a linearly independent set.