# Loki's Dance of Illusions: A Comprehensive Survey of Hallucination in Large Language Models

arXiv: https://arxiv.org/abs/2507.02870 · HTML: https://mlsanity.com/paper/2507.02870/

## Key facts

- Cited by 7 papers in the map (data through 14 Oct 2026).
- Builds on 177 of its 204 references that are in the map.
- First posted on arXiv 6 Jun 2025.

## Builds on (most cited first, 30 of 177)

- [GPT-4 Technical Report](https://mlsanity.com/paper/2303.08774/) (2023)
- [Training language models to follow instructions with human feedback](https://mlsanity.com/paper/2203.02155/) (2022)
- [LoRA: Low-Rank Adaptation of Large Language Models](https://mlsanity.com/paper/2106.09685/) (2021)
- [Chain-of-Thought Prompting Elicits Reasoning in Large Language Models](https://mlsanity.com/paper/2201.11903/) (2022)
- [Scaling Laws for Neural Language Models](https://mlsanity.com/paper/2001.08361/) (2020)
- [DeepSeek-R1: Incentivizing Reasoning Capability in LLMs via Reinforcement Learning](https://mlsanity.com/paper/2501.12948/) (2025)
- [Prefix-Tuning: Optimizing Continuous Prompts for Generation](https://mlsanity.com/paper/2101.00190/) (2021)
- [HotpotQA: A Dataset for Diverse, Explainable Multi-hop Question Answering](https://mlsanity.com/paper/1809.09600/) (2018)
- [TruthfulQA: Measuring How Models Mimic Human Falsehoods](https://mlsanity.com/paper/2109.07958/) (2021)
- [TriviaQA: A Large Scale Distantly Supervised Challenge Dataset for Reading Comprehension](https://mlsanity.com/paper/1705.03551/) (2017)
- [Learning to summarize from human feedback](https://mlsanity.com/paper/2009.01325/) (2020)
- [Survey of Hallucination in Natural Language Generation](https://mlsanity.com/paper/2202.03629/) (2022)
- [A Survey on Hallucination in Large Language Models: Principles, Taxonomy, Challenges, and Open Questions](https://mlsanity.com/paper/2311.05232/) (2023)
- [Least-to-Most Prompting Enables Complex Reasoning in Large Language Models](https://mlsanity.com/paper/2205.10625/) (2022)
- [Understanding intermediate layers using linear classifier probes](https://mlsanity.com/paper/1610.01644/) (2016)
- [Inference-Time Intervention: Eliciting Truthful Answers from a Language Model](https://mlsanity.com/paper/2306.03341/) (2023)
- [Instruction-Following Evaluation for Large Language Models](https://mlsanity.com/paper/2311.07911/) (2023)
- [Interpretability in the Wild: a Circuit for Indirect Object Identification in GPT-2 small](https://mlsanity.com/paper/2211.00593/) (2022)
- [LIMA: Less Is More for Alignment](https://mlsanity.com/paper/2305.11206/) (2023)
- [Measuring and Narrowing the Compositionality Gap in Language Models](https://mlsanity.com/paper/2210.03350/) (2022)
- [Can LLMs Express Their Uncertainty? An Empirical Evaluation of Confidence Elicitation in LLMs](https://mlsanity.com/paper/2306.13063/) (2023)
- [On Faithfulness and Factuality in Abstractive Summarization](https://mlsanity.com/paper/2005.00661/) (2020)
- [Semantic Uncertainty: Linguistic Invariances for Uncertainty Estimation in Natural Language Generation](https://mlsanity.com/paper/2302.09664/) (2023)
- [Just Ask for Calibration: Strategies for Eliciting Calibrated Confidence Scores from Language Models Fine-Tuned with Human Feedback](https://mlsanity.com/paper/2305.14975/) (2023)
- [SelfCheckGPT: Zero-Resource Black-Box Hallucination Detection for Generative Large Language Models](https://mlsanity.com/paper/2303.08896/) (2023)
- [Discovering Latent Knowledge in Language Models Without Supervision](https://mlsanity.com/paper/2212.03827/) (2022)
- [Teaching Models to Express Their Uncertainty in Words](https://mlsanity.com/paper/2205.14334/) (2022)
- [Did Aristotle Use a Laptop? A Question Answering Benchmark with Implicit Reasoning Strategies](https://mlsanity.com/paper/2101.02235/) (2021)
- [Siren's Song in the AI Ocean: A Survey on Hallucination in Large Language Models](https://mlsanity.com/paper/2309.01219/) (2023)
- [Automatic Chain of Thought Prompting in Large Language Models](https://mlsanity.com/paper/2210.03493/) (2022)

## Built on by (most cited first, 7 of 7)

- [Hallucination Cascade: Analyzing Error Propagation in Multi-Agent LLM Systems](https://mlsanity.com/paper/2606.07937/) (2026)
- [Profile-Aware Maneuvering: A Dynamic Multi-Agent System for Robust GAIA Problem Solving by AWorld](https://mlsanity.com/paper/2508.09889/) (2025)
- [From "Aha Moments" to Controllable Thinking: Toward Meta-Cognitive Reasoning in Large Reasoning Models via Decoupled Reasoning and Control](https://mlsanity.com/paper/2508.04460/) (2025)
- [Evo-Attacker: Memory-Augmented Reinforcement Learning for Long-Horizon Tool Attacks on LLM-MAS](https://mlsanity.com/paper/2605.25389/) (2026)
- [The Homogenization Problem in LLMs: Towards Meaningful Diversity in AI Safety](https://mlsanity.com/paper/2601.06116/) (2026)
- [LANCET: Neural Intervention via Structural Entropy for Mitigating Faithfulness Hallucinations in LLMs](https://mlsanity.com/paper/2601.01401/) (2026)
- [MeasHalu: Mitigation of Scientific Measurement Hallucinations for Large Language Models with Enhanced Reasoning](https://mlsanity.com/paper/2604.16929/) (2026)

## Abstract (arXiv)

Edgar Allan Poe noted, "Truth often lurks in the shadow of error," highlighting the deep complexity intrinsic to the interplay between truth and falsehood, notably under conditions of cognitive and informational asymmetry. This dynamic is strikingly evident in large language models (LLMs). Despite their impressive linguistic generation capabilities, LLMs sometimes produce information that appears factually accurate but is, in reality, fabricated, an issue often referred to as 'hallucinations'. The prevalence of these hallucinations can mislead users, affecting their judgments and decisions. In sectors such as finance, law, and healthcare, such misinformation risks causing substantial economic losses, legal disputes, and health risks, with wide-ranging consequences.In our research, we have methodically categorized, analyzed the causes, detection methods, and solutions related to LLM hallucinations. Our efforts have particularly focused on understanding the roots of hallucinations and evaluating the efficacy of current strategies in revealing the underlying logic, thereby paving the way for the development of innovative and potent approaches. By examining why certain measures are effective against hallucinations, our study aims to foster a comprehensive approach to tackling this issue within the domain of LLMs.