Tokens
What the model actually reads, and why it explains odd behavior.
Module 01 · Inside the model
Context is the model’s working reality.
What you’ll learn
What the model actually reads, and why it explains odd behavior.
How each token’s meaning is shaped by everything around it.
A hard budget. Fitting inside it isn’t the same as being used well.
Why every token costs money and time, on every single call.
Applied exercise
Predict which of three differently structured contexts will produce the strongest answer—and explain why.
Cheat sheet · for your projects
Leave at the door
| Myth | What’s actually true |
|---|---|
| “The model reads words.” | It reads tokens: pieces of text mapped to numbers. |
| “A bigger context window fixes it.” | Fitting in the window doesn’t mean being used well. |
| “More context means better answers.” | Irrelevant context dilutes the relevant part. |
| “It remembers earlier in the chat.” | The system re-sends the history on every call. |
| “Tokens are just a billing detail.” | They set cost, speed, limits and odd behavior. |