File import works BUT the random word chosen is only 1 letter??

import sys
import os
import random

file = open('words.txt', 'r')
words = file.read()

#words = [
#   'hotel',
#   'holiday',
#   'sun',
#   'banana',
#   'yummy',
#   'mummy',
#   'anything',
#   'anytime',
#   'random',
#   'time',
#   'curtain',
#   'door',
#   'silly',
#   'agatha',
#   'sam',
#   'baby',
#   'awesome',
#   'average',
#   'science',
#   'degree',
#   'pizza'
#]

def clear():
    if os.name == 'nt':
        os.system('cls')
    else:
        os.system('clear')

def draw(incorrect_guesses, correct_guesses, random_word):
    clear()
    print("####################")
    print("Guesses: {}/7".format(len(incorrect_guesses)))
    print('')
    for letter in incorrect_guesses:
        print(letter, end=' ')
    print('')
    print("####################")
    print('')
    for letter in random_word:
        if letter in correct_guesses:
            print(letter, end='')
        else:
            print('_', end='')
    print('')

def get_guess(incorrect_guesses, correct_guesses):
    while True:
        guess = input("Guess a letter: ").lower()
        if len(guess) != 1:
            print("You can only guess a single letter, try again")
        elif guess in correct_guesses or guess in incorrect_guesses:
            print("You have already guessed that letter, try again")
        elif not guess.isalpha():
            print("You can only guess letters, try again")
        else:
            return guess

def play(done):
    clear()
    random_word = random.choice(words)
    correct_guesses = []
    incorrect_guesses = []

    while True:
        draw(incorrect_guesses, correct_guesses, random_word)
        guess = get_guess(incorrect_guesses, correct_guesses)

        if guess in random_word:
            correct_guesses.append(guess)
            found = True
            for letter in random_word:
                if letter not in correct_guesses:
                    found = False
            if found:
                draw(incorrect_guesses, correct_guesses, random_word)
                print("####################")
                print('')
                print("You Win!, The word was {}".format(random_word))
                print('')
                print("####################")
                done = True
        else:
            incorrect_guesses.append(guess)
            if len(incorrect_guesses) == 7:
                draw(incorrect_guesses, correct_guesses, random_word)
                print("####################")
                print('')
                print("You Lost!, The word was {}".format(random_word))
                print('')
                print("####################")
                done = True
        if done:
            play_again = input("Do you want to play again? Y/n ").lower()
            if play_again != 'n':
                return play(done=False)
            else:
                print("####################")
                print('')
                print("Thanks for playing!")
                print('')
                print("####################")
                sys.exit()


def welcome():
    start = input("Do you want to start the game? Y/n ")
    if start != 'n':
        return True
    else:
        print("####################")
        print('')
        print("Thanks for playing!")
        print('')
        print("####################")
        sys.exit()

done = False

while True:
    clear()
    welcome()
    play(done)