# Self-Improving World Modelling with Latent Actions

arXiv: https://arxiv.org/abs/2602.06130 · HTML: https://mlsanity.com/paper/2602.06130/

## Key facts

- Cited by 5 papers in the map (data through 14 Oct 2026).
- Placed in Latent predictive world models, one of 11 directions in World models.
- Builds on 48 of its 56 references that are in the map.
- First posted on arXiv 5 Feb 2026.

## Placed in

- World models / [Latent predictive world models](https://mlsanity.com/wm/latent-predictive-world-models/)
- LLM reasoning / [Reinforcement learning for reasoning](https://mlsanity.com/lr/reinforcement-learning-for-reasoning/)
- Synthetic data and self-improvement for LLMs / [Self-evolving LLM agents](https://mlsanity.com/synth/self-evolving-llm-agents/)

## Builds on (most cited first, 30 of 48)

- [InstructPix2Pix: Learning to Follow Image Editing Instructions](https://mlsanity.com/paper/2211.09800/) (2022)
- [Qwen2 Technical Report](https://mlsanity.com/paper/2407.10671/) (2024)
- [The Kinetics Human Action Video Dataset](https://mlsanity.com/paper/1705.06950/) (2017)
- [Mind2Web: Towards a Generalist Agent for the Web](https://mlsanity.com/paper/2306.06070/) (2023)
- [Emerging Properties in Unified Multimodal Pretraining](https://mlsanity.com/paper/2505.14683/) (2025)
- [Large Language Models Can Self-Improve](https://mlsanity.com/paper/2210.11610/) (2022)
- [ScienceWorld: Is your Agent Smarter than a 5th Grader?](https://mlsanity.com/paper/2203.07540/) (2022)
- [OmniGen2: Towards Instruction-Aligned Multimodal Generation](https://mlsanity.com/paper/2506.18871/) (2025)
- [Moments in Time Dataset: one million videos for event understanding](https://mlsanity.com/paper/1801.03150/) (2018)
- [TokenFlow: Unified Image Tokenizer for Multimodal Understanding and Generation](https://mlsanity.com/paper/2412.03069/) (2024)
- [SmartEdit: Exploring Complex Instruction-based Image Editing with Multimodal Large Language Models](https://mlsanity.com/paper/2312.06739/) (2023)
- [UniTok: A Unified Tokenizer for Visual Generation and Understanding](https://mlsanity.com/paper/2502.20321/) (2025)
- [StableToolBench: Towards Stable Large-Scale Benchmarking on Tool Learning of Large Language Models](https://mlsanity.com/paper/2403.07714/) (2024)
- [Evaluating the World Model Implicit in a Generative Model](https://mlsanity.com/paper/2406.03689/) (2024)
- [GoT: Unleashing Reasoning Capability of Multimodal Large Language Model for Visual Generation and Editing](https://mlsanity.com/paper/2503.10639/) (2025)
- [UniReal: Universal Image Generation and Editing via Learning Real-world Dynamics](https://mlsanity.com/paper/2412.07774/) (2024)
- [Reinforcement Learning for Self-Improving Agent with Skill Library](https://mlsanity.com/paper/2512.17102/) (2025)
- [CWM: An Open-Weights LLM for Research on Code Generation with World Models](https://mlsanity.com/paper/2510.02387/) (2025)
- [Pandora: Towards General World Model with Natural Language Actions and Video States](https://mlsanity.com/paper/2406.09455/) (2024)
- [Liquid: Language Models are Scalable and Unified Multi-modal Generators](https://mlsanity.com/paper/2412.04332/) (2024)
- [VidGen-1M: A Large-Scale Dataset for Text-to-video Generation](https://mlsanity.com/paper/2408.02629/) (2024)
- [VAGEN: Reinforcing World Model Reasoning for Multi-Turn VLM Agents](https://mlsanity.com/paper/2510.16907/) (2025)
- [Pico-Banana-400K: A Large-Scale Dataset for Text-Guided Image Editing](https://mlsanity.com/paper/2510.19808/) (2025)
- [BLIP3o-NEXT: Next Frontier of Native Image Generation](https://mlsanity.com/paper/2510.15857/) (2025)
- [From Word to World: Can Large Language Models be Implicit Text-based World Models?](https://mlsanity.com/paper/2512.18832/) (2025)
- [Planning with Reasoning using Vision Language World Model](https://mlsanity.com/paper/2509.02722/) (2025)
- [Reflect, Retry, Reward: Self-Improving LLMs via Reinforcement Learning](https://mlsanity.com/paper/2505.24726/) (2025)
- [RealUnify: Do Unified Models Truly Benefit from Unification? A Comprehensive Benchmark](https://mlsanity.com/paper/2509.24897/) (2025)
- [Learning Action and Reasoning-Centric Image Editing from Videos and Simulations](https://mlsanity.com/paper/2407.03471/) (2024)
- [SELF-GUIDE: Better Task-Specific Instruction Following via Self-Synthetic Finetuning](https://mlsanity.com/paper/2407.12874/) (2024)

## Built on by (most cited first, 5 of 5)

- [StarVLA: A Lego-like Codebase for Vision-Language-Action Model Developing](https://mlsanity.com/paper/2604.05014/) (2026)
- [Qwen-AgentWorld: Language World Models for General Agents](https://mlsanity.com/paper/2606.24597/) (2026)
- [Self-Evolving World Models for LLM Agent Planning](https://mlsanity.com/paper/2606.30639/) (2026)
- [Bridging the Agent-World Gap: Text World Models for LLM-based Agents](https://mlsanity.com/paper/2606.09032/) (2026)
- [From Pixels to States: Rethinking Interactive World Models as Game Engines](https://mlsanity.com/paper/2607.14076/) (2026)

## Abstract (arXiv)

Internal modelling of the world -- predicting transitions between previous states X and next states Y under actions Z -- is essential to reasoning and planning for LLMs and VLMs. Learning such models typically requires costly action-labelled trajectories. We propose SWIRL, a self-improvement framework that learns from state-only sequences by treating actions as a latent variable and alternating between Forward World Modelling (FWM) Pθ(Y|X,Z) and an Inverse Dynamics Modelling (IDM) Qφ(Z|X,Y). SWIRL iterates two phases: (1) Variational Information Maximisation, which updates the FWM to generate next states that maximise conditional mutual information with latent actions given prior states, encouraging identifiable consistency; and (2) ELBO Maximisation, which updates the IDM to explain observed transitions, effectively performing coordinate ascent. Both models are trained with reinforcement learning (specifically, GRPO) with the opposite frozen model's log-probability as a reward signal. We provide theoretical learnability guarantees for both updates, and evaluate SWIRL on LLMs and VLMs across multiple environments: single-turn and multi-turn open-world visual dynamics and synthetic textual environments for physics, web, and tool calling. SWIRL achieves gains of 16% on AURORABench, 28% on ByteMorph, 16% on WorldPredictionBench, and 14% on StableToolBench.
