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By framing prior smoothing as a shrinkage process and applying a micro-diffusion denoising layer, Midicoth achieves more accurate probability estimates in lossless compression, even with limited data.
A 135M-parameter transformer-based compressor, Nacrith, achieves state-of-the-art lossless compression, beating gzip by 3.1x and ts_zip by 20% on alice29.txt, and surpassing FineZip by 8% on enwik8, all with a model 60x smaller and without fine-tuning.
