# From Tokens to States: LLMs as a Special Case of World Models and the Continuous Path Beyond

arXiv: https://arxiv.org/abs/2606.28127 · HTML: https://mlsanity.com/paper/2606.28127/

## Key facts

- No citing papers in the map yet (data through 14 Oct 2026).
- Placed in World models for language agents, one of 11 directions in World models.
- Builds on 12 of its 14 references that are in the map.
- First posted on arXiv 26 Jun 2026.

## Placed in

- World models / [World models for language agents](https://mlsanity.com/wm/world-models-for-language-agents/)

## Builds on (most cited first, 12 of 12)

- [An Image is Worth 16x16 Words: Transformers for Image Recognition at Scale](https://mlsanity.com/paper/2010.11929/) (2020)
- [World Models](https://mlsanity.com/paper/1803.10122/) (2018)
- [Emergent World Representations: Exploring a Sequence Model Trained on a Synthetic Task](https://mlsanity.com/paper/2210.13382/) (2022)
- [Better & Faster Large Language Models via Multi-token Prediction](https://mlsanity.com/paper/2404.19737/) (2024)
- [Emergent Linear Representations in World Models of Self-Supervised Sequence Models](https://mlsanity.com/paper/2309.00941/) (2023)
- [Language Models Represent Space and Time](https://mlsanity.com/paper/2310.02207/) (2023)
- [Emergent World Models and Latent Variable Estimation in Chess-Playing Language Models](https://mlsanity.com/paper/2403.15498/) (2024)
- [From Word to World: Can Large Language Models be Implicit Text-based World Models?](https://mlsanity.com/paper/2512.18832/) (2025)
- [Next-Latent Prediction Transformers Learn Compact World Models](https://mlsanity.com/paper/2511.05963/) (2025)
- [Emergent Response Planning in LLMs](https://mlsanity.com/paper/2502.06258/) (2025)
- [Beyond Multi-Token Prediction: Pretraining LLMs with Future Summaries](https://mlsanity.com/paper/2510.14751/) (2025)
- [Toward Consistent World Models with Multi-Token Prediction and Latent Semantic Enhancement](https://mlsanity.com/paper/2604.06155/) (2026)

## Abstract (arXiv)

The AI community has framed the relationship between large language models (LLMs) and world models as a dichotomy: LLMs predict tokens; world models simulate reality. Yann LeCun argues in 2022 that reaching general intelligence requires abandoning autoregressive token prediction in favour of latent-space architectures. This framing is unnecessarily binary. Two claims will be defended. First, LLMs are a degenerate special case of world models: the state space is the set of all token sequences, the only action is appending one token, and world models are therefore a strict generalisation of LLMs, not a replacement. Second, there is a natural continuous spectrum from NTP to JEPA, with multi-token prediction, future-summary prediction, and next-latent prediction as intermediate stations already populated by current research. Moving along this spectrum relaxes the LLM constraints one by one. It also progressively surrenders the two practical advantages that make LLMs trainable at scale: internet-scale self-supervised data, and a transformer architecture co-designed for discrete token prediction. Both are examined as open research questions: the data question (the cliff from self-supervised text to instrumented action-labelled environments) and the architecture question (whether the transformer generalises to continuous-state prediction, or whether a new primitive is needed).