New research proposes a practical fix for the hidden "MCP tax."
The work introduces a dynamic tool gating mechanism built on an Intent Schema Overlap score from sentence embeddings, paired with a state-aware gating function that enforces preconditions and access scopes.
A two-phase lazy schema loader keeps a compact summary pool in context and only promotes full JSON schemas for the top-k gated tools.
On a simulated 120-tool benchmark, tool tokens dropped from 47.3k to 2.4k per turn (95% reduction) while effective context utilization rose from 24% to 91%.
Why does it matter?
As MCP ecosystems grow, naive tool exposure will silently wreck both cost and reasoning quality. Dynamic tool gating and lazy schema might help your setup.