Function-Space Temporal Self-Distillation for Policy Optimization
Aryan Das, Arnab Bhattacharya, Vinay Kumar Verma
Abstract
Reinforcement Learning with Verifiable Rewards (RLVR) improves reasoning in language models, but scalar outcomes provide coarse supervision over response trajectories. Self-distillation offers denser token-level guidance by comparing an unassisted policy with a feedback-informed self-teacher, yet the teacher evolves with the student, creating unstable targets and motivating additional regularization. We introduce Function-Space Policy Optimization (FSPO), a single-policy framework that combines current privileged adaptation with function-space temporal consolidation. FSPO stores sparse historical next-token distributions as fixed temporal targets, providing temporal separation without maintaining a persistent teacher model. It further introduces privileged disagreement correction to explicitly suppress locally overvalued actions, reliability-adaptive grounding that strengthens reference supervision when self-generated evidence repeatedly fails, and quality and coverage-aware temporal memory that retains verified behaviors and improves privileged demonstrations. Across reasoning and tool-use benchmarks, FSPO achieves the highest average accuracy under a 5-hour training budget, improving over the strongest baseline by approximately 4% points on average while reducing peak memory from about 70 GB to 56 GB on Olmo3-7B-Instruct.