RSCE: Training-Free Residual Stream Encoding for Persistent Context Amortization

Adam Kamel, Eric Xu


Abstract
A central question in the knowledge lifecycle of language models ishow externally injected signals interact with parametric memoryaccumulated during pretraining. We address this through ResidualStream Context Encoding (RSCE), a training-free method that encodesa context document ctx into a single vector C ∈ ℝdMvia mean-pooling residual stream activations at a calibratedintermediate layer, then injects C as an additive shift at querytime. This replaces O(|T(ctx)|) attention prefill with an O(1)operation and reveals a previously undescribed dual-pathwayinterference effect: vector injection alone suppresses parametricrecall below the question-only baseline across four of fivetested architectures. This finding—absent in behavioral activationsteering—provides mechanistic evidence that LLMs maintain separatecontextual-retrieval and parametric-recall pathways that compete whenexternally injected signals are semantically rich but token-precisiondeficient. A dual-channel design pairing C with a compact explicitfact block F resolves this tension. We evaluate five decoder-onlyarchitectures (7B–70B) on multi-document QA (LongBench, n=108)and six on cross-file code completion (RepoBench-C), comparingagainst LongLLMLingua and EHPC. At extreme compression (99%token reduction), RSCE Vec+F is competitive with EHPC on smallerarchitectures (LLaMA-8B F1 0.333 vs. EHPC 0.334; DeepSeek-14Bboth 0.214) while both substantially outperform LongLLMLingua.RSCE is the only method achieving 81% compression at 100%operational reliability on code.
Anthology ID:
2026.knowfm-1.11
Volume:
Proceedings of the 4th Workshop on Towards Knowledgeable Foundation Models (KnowFM 2026)
Month:
July
Year:
2026
Address:
San Diego, California, United States
Editors:
Canyu Chen, Yuji Zhang, Zoey Sha Li, Zihan Wang, Qineng Wang, Jinyan Su, Priyanka Kargupta, Sara Vera Marjanović, Jeff Z. Pan, Mohit Bansal, Isabelle Augenstein, Jiawei Han, Heng Ji, Manling Li
Venues:
KnowFM | WS
SIG:
Publisher:
Association for Computational Linguistics
Note:
Pages:
138–146
Language:
URL:
https://preview.aclanthology.org/ingest-acl-workshops/2026.knowfm-1.11/
DOI:
Bibkey:
Cite (ACL):
Adam Kamel and Eric Xu. 2026. RSCE: Training-Free Residual Stream Encoding for Persistent Context Amortization. In Proceedings of the 4th Workshop on Towards Knowledgeable Foundation Models (KnowFM 2026), pages 138–146, San Diego, California, United States. Association for Computational Linguistics.
Cite (Informal):
RSCE: Training-Free Residual Stream Encoding for Persistent Context Amortization (Kamel & Xu, KnowFM 2026)
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PDF:
https://preview.aclanthology.org/ingest-acl-workshops/2026.knowfm-1.11.pdf