# Scaling Latent Reasoning via Looped Language Models

arXiv: https://arxiv.org/abs/2510.25741 · HTML: https://mlsanity.com/paper/2510.25741/

## Key facts

- Cited by 165 papers in the map (data through 14 Oct 2026).
- Placed in Test-time compute and efficient thinking, one of 17 directions in LLM reasoning.
- Builds on 62 of its 98 references that are in the map.
- First posted on arXiv 29 Oct 2025.

## Placed in

- LLM reasoning / [Test-time compute and efficient thinking](https://mlsanity.com/lr/test-time-compute-and-efficient-thinking/)

## Builds on (most cited first, 30 of 62)

- [Training Verifiers to Solve Math Word Problems](https://mlsanity.com/paper/2110.14168/) (2021)
- [DeepSeekMath: Pushing the Limits of Mathematical Reasoning in Open Language Models](https://mlsanity.com/paper/2402.03300/) (2024)
- [Qwen3 Technical Report](https://mlsanity.com/paper/2505.09388/) (2025)
- [Evaluating Large Language Models Trained on Code](https://mlsanity.com/paper/2107.03374/) (2021)
- [Think you have Solved Question Answering? Try ARC, the AI2 Reasoning Challenge](https://mlsanity.com/paper/1803.05457/) (2018)
- [Program Synthesis with Large Language Models](https://mlsanity.com/paper/2108.07732/) (2021)
- [Training Compute-Optimal Large Language Models](https://mlsanity.com/paper/2203.15556/) (2022)
- [GPQA: A Graduate-Level Google-Proof Q&A Benchmark](https://mlsanity.com/paper/2311.12022/) (2023)
- [DAPO: An Open-Source LLM Reinforcement Learning System at Scale](https://mlsanity.com/paper/2503.14476/) (2025)
- [ALBERT: A Lite BERT for Self-supervised Learning of Language Representations](https://mlsanity.com/paper/1909.11942/) (2019)
- [Can a Suit of Armor Conduct Electricity? A New Dataset for Open Book Question Answering](https://mlsanity.com/paper/1809.02789/) (2018)
- [Qwen2 Technical Report](https://mlsanity.com/paper/2407.10671/) (2024)
- [MMLU-Pro: A More Robust and Challenging Multi-Task Language Understanding Benchmark](https://mlsanity.com/paper/2406.01574/) (2024)
- [Gemma 3 Technical Report](https://mlsanity.com/paper/2503.19786/) (2025)
- [Challenging BIG-Bench Tasks and Whether Chain-of-Thought Can Solve Them](https://mlsanity.com/paper/2210.09261/) (2022)
- [GLU Variants Improve Transformer](https://mlsanity.com/paper/2002.05202/) (2020)
- [LlamaFactory: Unified Efficient Fine-Tuning of 100+ Language Models](https://mlsanity.com/paper/2403.13372/) (2024)
- [OlympiadBench: A Challenging Benchmark for Promoting AGI with Olympiad-Level Bilingual Multimodal Scientific Problems](https://mlsanity.com/paper/2402.14008/) (2024)
- [Training Large Language Models to Reason in a Continuous Latent Space](https://mlsanity.com/paper/2412.06769/) (2024)
- [Universal Transformers](https://mlsanity.com/paper/1807.03819/) (2018)
- [Beyond the 80/20 Rule: High-Entropy Minority Tokens Drive Effective Reinforcement Learning for LLM Reasoning](https://mlsanity.com/paper/2506.01939/) (2025)
- [Humanity's Last Exam](https://mlsanity.com/paper/2501.14249/) (2025)
- [Scaling up Test-Time Compute with Latent Reasoning: A Recurrent Depth Approach](https://mlsanity.com/paper/2502.05171/) (2025)
- [SmolLM2: When Smol Goes Big -- Data-Centric Training of a Small Language Model](https://mlsanity.com/paper/2502.02737/) (2025)
- [OpenThoughts: Data Recipes for Reasoning Models](https://mlsanity.com/paper/2506.04178/) (2025)
- [Transformers Learn Shortcuts to Automata](https://mlsanity.com/paper/2210.10749/) (2022)
- [Chain of Thought Monitorability: A New and Fragile Opportunity for AI Safety](https://mlsanity.com/paper/2507.11473/) (2025)
- [Reasoning with Latent Thoughts: On the Power of Looped Transformers](https://mlsanity.com/paper/2502.17416/) (2025)
- [WinoGrande: An Adversarial Winograd Schema Challenge at Scale](https://mlsanity.com/paper/1907.10641/) (2019)
- [Chain-of-Thought Reasoning In The Wild Is Not Always Faithful](https://mlsanity.com/paper/2503.08679/) (2025)

## Built on by (most cited first, 30 of 165)

- [LoopFormer: Elastic-Depth Looped Transformers for Latent Reasoning via Shortcut Modulation](https://mlsanity.com/paper/2602.11451/) (2026)
- [Parcae: Scaling Laws For Stable Looped Language Models](https://mlsanity.com/paper/2604.12946/) (2026)
- [The Latent Space: Foundation, Evolution, Mechanism, Ability, and Outlook](https://mlsanity.com/paper/2604.02029/) (2026)
- [Loop, Think, & Generalize: Implicit Reasoning in Recurrent-Depth Transformers](https://mlsanity.com/paper/2604.07822/) (2026)
- [A Mechanistic Analysis of Looped Reasoning Language Models](https://mlsanity.com/paper/2604.11791/) (2026)
- [Fixed-Point Reasoners: Stable and Adaptive Deep Looped Transformers](https://mlsanity.com/paper/2606.18206/) (2026)
- [How Much Is One Recurrence Worth? Iso-Depth Scaling Laws for Looped Language Models](https://mlsanity.com/paper/2604.21106/) (2026)
- [Stabilizing Recurrent Dynamics for Test-Time Scalable Latent Reasoning in Looped Language Models](https://mlsanity.com/paper/2605.26733/) (2026)
- [Recurrent-Depth VLA: Implicit Test-Time Compute Scaling of Vision-Language-Action Models via Latent Iterative Reasoning](https://mlsanity.com/paper/2602.07845/) (2026)
- [Equilibrium Reasoners: Learning Attractors Enables Scalable Reasoning](https://mlsanity.com/paper/2605.21488/) (2026)
- [SMELT: Scaling Laws for Compute-Matched MoE Looped Transformers](https://mlsanity.com/paper/2609.01343/) (2026)
- [Think-at-Hard: Dynamic Looped Transformers for Improved Reasoning](https://mlsanity.com/paper/2511.08577/) (2025)
- [LoopViT: Scaling Visual ARC with Looped Transformers](https://mlsanity.com/paper/2602.02156/) (2026)
- [LoopUS: Recasting Pretrained LLMs into Looped Latent Refinement Models](https://mlsanity.com/paper/2605.11011/) (2026)
- [Training-Free Looped Transformers](https://mlsanity.com/paper/2605.23872/) (2026)
- [Memory-Efficient Looped Transformer: Decoupling Compute from Memory in Looped Language Models](https://mlsanity.com/paper/2605.07721/) (2026)
- [Solve the Loop: Attractor Models for Language and Reasoning](https://mlsanity.com/paper/2605.12466/) (2026)
- [Bridging the Gap Between Latent and Explicit Reasoning with Looped Transformers](https://mlsanity.com/paper/2606.31779/) (2026)
- [Depth-Recurrent Attention Mixtures: Giving Latent Reasoning the Attention it Deserves](https://mlsanity.com/paper/2601.21582/) (2026)
- [SpiralFormer: Looped Transformers Can Learn Hierarchical Dependencies via Multi-Resolution Recursion](https://mlsanity.com/paper/2602.11698/) (2026)
- [Hyperloop Transformers](https://mlsanity.com/paper/2604.21254/) (2026)
- [Adaptive Depth in Looped Transformers: Diagnosing Learned Halting Gates and Trajectory Readouts](https://mlsanity.com/paper/2607.20519/) (2026)
- [Dynamics Within Latent Chain-of-Thought: An Empirical Study of Causal Structure](https://mlsanity.com/paper/2602.08783/) (2026)
- [Adaptive Loops and Memory in Transformers: Think Harder or Know More?](https://mlsanity.com/paper/2603.08391/) (2026)
- [Sparse Layers are Critical to Scaling Looped Language Models](https://mlsanity.com/paper/2605.09165/) (2026)
- [Nanbeige4.2-3B: Unlocking Agentic Capabilities in a Compact Model](https://mlsanity.com/paper/2607.22083/) (2026)
- [Residual Context Diffusion Language Models](https://mlsanity.com/paper/2601.22954/) (2026)
- [AdaPonderLM: Gated Pondering Language Models with Token-Wise Adaptive Depth](https://mlsanity.com/paper/2603.01914/) (2026)
- [Recursive Multi-Agent Systems](https://mlsanity.com/paper/2604.25917/) (2026)
- [LoopMoE: Unifying Iterative Computation with Mixture-of-Experts for Language Modeling](https://mlsanity.com/paper/2606.04438/) (2026)

## Abstract (arXiv)

Modern LLMs are trained to "think" primarily via explicit text generation, such as chain-of-thought (CoT), which defers reasoning to post-training and under-leverages pre-training data. We present and open-source Ouro, named after the recursive Ouroboros, a family of pre-trained Looped Language Models (LoopLM) that instead build reasoning into the pre-training phase through (i) iterative computation in latent space, (ii) an entropy-regularized objective for learned depth allocation, and (iii) scaling to 7.7T tokens. Ouro 1.4B and 2.6B models enjoy superior performance that match the results of up to 12B SOTA LLMs across a wide range of benchmarks. Through controlled experiments, we show this advantage stems not from increased knowledge capacity, but from superior knowledge manipulation capabilities. We also show that LoopLM yields reasoning traces more aligned with final outputs than explicit CoT. We hope our results show the potential of LoopLM as a novel scaling direction in the reasoning era. Our model is available here: http://ouro-llm.github.io.
