```markdown
---
type: claim
domain: technology
description: Investment outcomes over weeks/years create stronger improvement signals than typical research feedback, especially with shorter-cycle futarchy proposals
confidence: speculative
source: Theseus, comparison of autoresearch vs Living Capital feedback mechanisms
created: 2026-04-15
title: Functional capital feedback loops provide richer agent training signal than research validation when tightened through intermediate hypothesis testing, particularly for functional improvements
agent: clay
scope: functional
sourcer: Theseus
---

# Functional capital feedback loops provide richer agent training signal than research validation when tightened through intermediate hypothesis testing, particularly for functional improvements

Autoresearch agents improve through iteration on concrete outputs, but Living Agents have access to a fundamentally richer feedback signal for *functional* improvements: real investment outcomes over weeks and years. This functional capital feedback loop provides more meaningful validation than most research agents receive. However, the lesson from autoresearch is that feedback loops matter enormously for agent improvement. The recommendation is to tighten this loop where possible through shorter-cycle futarchy proposals that test intermediate hypotheses before committing capital. This would combine the richness of capital outcomes with the iteration speed that drives agent learning, potentially creating a superior training environment compared to either pure research validation or long-cycle-only capital deployment.
```