NTH

Principled Thoughts for Latent Recursive LLM Systems

AuthorsFahd Seddik, Fatemeh Fard

AffiliationsFARD Lab, University of British Columbia, Okanagan, Canada

October 5, 2026 2 min read
Watch on YouTube
The one-line take

REST teaches latent LLM agents to form more causal, minimal, separable, and stable internal thoughts, improving reasoning accuracy and interpretability.

Key results

7
Benchmarks evaluated

REST was tested across 7 mathematical, scientific, medical, and code-generation benchmarks.

3.3
Single-agent average gain

Average accuracy improvement in percentage points over CE-only training.

3.5
Multi-agent average gain

Average accuracy improvement in percentage points over CE-only training.

7.5
Best multi-agent gain

Maximum accuracy improvement in percentage points.

95%
Boxed-answer rate

REST’s final-answer convergence rate, compared with 73% for CE-only.

15.4%
Average token change

Average increase in decoded tokens under REST.

What the paper found

The paper introduces REST, or REpresentation-Supervised Thoughts, for latent recursive LLM systems that reason through hidden states rather than decoded chain-of-thought text. It identifies four failures of training only with final-answer cross-entropy: latent thoughts can lose causal information, preserve irrelevant input, collapse across distinct questions, and encode one sampled output instead of uncertainty. REST adds differentiable losses for causality, minimality, separability, and stability to the existing objective, training only the outer communication link while leaving the base models and inference architecture unchanged. Experiments use Qwen, Llama, and Gemma models in single-agent self-recursion and planner–refiner–solver multi-agent systems, evaluated across 7 benchmarks including MATH500, GPQA-Diamond, MedQA, AIME2025, AIME2026, LiveCodeBench-v6, and MBPP+. Under matched data, compute, and latent budgets, REST improves average accuracy by 3.3 percentage points for single-agent systems and 3.5 percentage points for multi-agent systems, with best gains reaching 6.5 and 7.5 percentage points. The method also produces more separable and output-focused thoughts, recovers 65% of oracle-text accuracy compared with 34% for CE-only transfer, and raises the boxed-answer rate from 73% to 95%. REST decodes 15.4% more tokens on average, but the added computation is associated with more frequent convergence and, in some cases, less repetitive reasoning.

Original abstract

Large language models can reason in continuous space instead of decoded text, by recurring on their own hidden states or by passing those states between agents, while training supervises only the Cross-Entropy (CE) of the final decoded answer and does not constrain the thought. Theoretical and empirical analyses establish and confirm four failures of CE-only training that lead to a lower probability of the correct answer such as collapsing thoughts across distinct questions and retaining irrelevant information. We introduce REST (REpresentation-Supervised Thoughts), a training objective that turns four properties of a valid thought representation (causality, minimality, separability, and stability) into differentiable losses added to CE. We instantiate it in latent single-agent and multi-agent systems, without architectural changes or added parameters at inference. Across 7 benchmarks spanning mathematics, science, medicine, and code generation, with the same training data, compute, and latent budget, REST increases accuracy over CE-only training across agent settings and model sizes by up to 7.5 percentage points and convergence on a final answer by 30\%. Furthermore, REST thoughts encode more of what is required to achieve the correct answer, and decoding them better recovers the intended output of the agent, which makes latent communication easier to interpret. Project Website: https://fard-lab.github.io/REST

Read the original paper

More in AI Reasoning

Browse all 39 papers →
02Reasoning

On Language Drift during RLVR Post-Training

Michael Sullivan, Alexander Koller

RLVR can make reasoning models increasingly use strange internal languages, and preventing that drift may require sacrificing some performance.

Read analysis