📄 Standard MCP JSON format support

Continue now supports loading MCP (Model Context Protocol) servers from JSON configuration files! This major enhancement brings support for two JSON config formats (single object and Claude-like format), automatic environment variable templating for secure key storage, and intelligent transport selection with automatic fallback mechanisms.

Configuration is now simplified with the .continue/mcpServers/ folder structure.

📄 Standard MCP JSON format support

Continue now supports loading MCP (Model Context Protocol) servers from JSON configuration files! This major enhancement brings support for two JSON config formats (single object and Claude-like format), automatic environment variable templating for secure key storage, and intelligent transport selection with automatic fallback mechanisms. #7956

Configuration is now simplified with the .continue/mcpServers/ folder structure.

🔗 Enhanced remote agent connections

The --id option now allows connecting to existing remote agents via tunnel, with improved remote command flow and error handling for a better distributed development experience. #7999

📚 Documentation overhaul

Automated documentation agent guide

New comprehensive guide for automating documentation updates using Continue CLI, with step-by-step instructions for creating documentation agents and best practices for maintaining up-to-date documentation. #7988

Settings documentation update

Updated screenshots reflecting new VS Code interface, card-based layout documentation, corrected configuration references, and added notes about autocomplete model configuration. #8013

🛠️ Under the hood

• Refactored MCP options and transport constructors
• Improved configuration loading mechanisms
• Enhanced telemetry for better product insights
• JSON and YAML configuration interoperability
• Improved MCP cookbook documentation with PostHog and GitHub examples
• Secure key storage best practices
• Environment variable templating support

👥 Contributors

Thanks to all contributors who made this release possible, with special recognition for tier feature implementations!

For the full changelog and detailed commit history, visit our GitHub releases

⭐ Highlights

🎨 UI/UX Overhaul

Notch Cleanup & Settings Revamp (#7667)

• ✨ Polished interface with notch cleanup for modern displays
• 🎯 Streamlined settings with improved navigation and organization
• 🔧 Better accessibility and configuration management by @Patrick-Erichsen

Git-Aware CLI (#7532, #7620)

• 🌿 See your current git branch right in the CLI
• ✍️ Automatic commit signatures for better traceability by @RomneyDa

Enhanced Diagnostics (#7621)

• 🔍 Comprehensive /info screen with system diagnostics
• 🩺 Quick troubleshooting with detailed environment data by @RomneyDa

Smart Safety Features

• 🏠 Home Directory Warning (#7536) - Prevents accidental operations in ~/
• ⏸️ Pause & Resume (#7501) - Take control of long-running operations
• 🎯 Ctrl+C Behavior (#7378) - Once to clear, twice to exit

🛠️ Developer Experience

Code Intelligence

• 🎨 Auto-formatting Detection (#7660) - Smart code style preservation
• 🔄 Visual Diff UI (#7367) - Beautiful find-and-replace with diff preview
• 📝 Empty Diff Messages (#7698) - Clear feedback when no changes detected

Command Enhancements

• 🚀 /init Command (#7669) - Quick project initialization
• 💬 --prompt Flag (#7358) - Direct prompt specification
• ⚙️ --config for Remote (#7592) - Remote configuration support

🏢 Enterprise Ready

Proxy & Integration Support

• 🔐 On-Prem Proxy Support (#7466) - Enterprise proxy configurations
• 📊 OpenAI Usage Tracking (#7462) - Token usage monitoring
• 🔗 Unified Fetch Tool (#7671) - Consistent content fetching

🎭 UI Polish

Visual Refinements

• 💭 Thinking Tags Dimming (#7665) - Subtle processing indicators
• 📦 Compaction UI (#7695) - Smoother visual feedback
• ⏎ Press Enter to Continue (#7643) - Natural flow control

🧠 Intelligence Improvements

Advanced Planning

• 🎯 Plan Mode System Prompt (#7365) - Smarter planning capabilities
• 🚦 Allow/Block Lists (#7400) - Fine-grained assistant control
• 📁 Filepath Template Vars (#7681) - Enhanced template support by @sestinj

🔧 Code Quality

• 💡 CLI Tips (#7500) - Helpful guidance for new users by @sestinj

🙏 Thank You

Big thanks to our amazing contributors who made this release possible: @Patrick-Erichsen, @RomneyDa, @tingwai, @sestinj, and @jpoly1219

💬 Join the conversation: Discord | GitHub Discussions

📖 Documentation: continue.dev/docs

⭐ Star us on GitHub: github.com/continuedev/continue

🖼️ Enhanced image support in CLI

The CLI now supports pasting images directly into conversations, making it easier to share visual context without leaving your terminal. Simply paste an image and Continue will process it alongside your text input.

• #7515 - Show users how to paste images
• #7503 - Image paste functionality

💬 Improved CLI messaging experience

We've streamlined the CLI experience with automatic message title generation and a unified message format that matches other Continue extensions, providing a more consistent experience across all platforms.

• #7435 - Generate message titles automatically
• Message format now consistent with IDE extensions

⚡ Streamlined CLI interactions

Press Enter to continue - The CLI now offers a smoother flow with the ability to continue conversations by simply pressing Enter, reducing friction in longer sessions.

• #7643 - Press Enter to continue functionality (@RomneyDa)

🛠️ Improved edit tools

Edit tool descriptions have been refined for clarity, and the CLI now reads real paths for better file handling accuracy.

• #7619 - Description tweaks and real path reading (@RomneyDa)

🐚 Shell mode for CLI

A new shell mode allows you to execute commands directly through Continue, streamlining your workflow when you need to run terminal commands as part of your development process.

• #7537 - Shell mode implementation (@RomneyDa)

🏠 Safety improvements

Continue now warns users when running the CLI in the home directory, preventing accidental modifications to critical system files.

• #7536 - Home directory warning (@RomneyDa)

🌿 Git integration

The CLI now displays your current git branch when available, helping you stay oriented in your repository context.

• #7532 - Git branch display (@RomneyDa)

⏸️ Pause and resume functionality

You can now pause and resume Continue sessions, giving you more control over long-running operations or when you need to temporarily step away.

• #7501 - Pause and resume support (@sestinj)

💡 CLI tips system

A new tips system provides helpful hints and best practices as you use the CLI, helping you discover features and improve your workflow.

• #7500 - Tips for CLI users (@sestinj)

Released September 9th 2025 • Contributors: @sestinj, @RomneyDa

Enhanced AI model support and error tracking

🤖 GPT-5 support with search/replace

Continue now supports GPT-5 with advanced search and replace capabilities, enabling more powerful code transformations. By @Patrick-Erichsen in #7153

Model Context Protocol (MCP) improvements

🔐 OAuth support for MCP servers

MCP servers can now authenticate using OAuth, enabling secure connections to external services. By @uinstinct in #6800

📦 Updated MCP resource naming

Changed MCP context provider description to "MCP Resources" for better clarity. By @sestinj in #7152

Next edit and agent mode enhancements

⛓️ Chain of next edits

Added ability to chain multiple edit operations together for complex refactoring workflows. By @jpoly1219 in #6843

📝 Expanded next edit protocol endpoints

Added more endpoints to the next edit protocol for better integration. By @jpoly1219 in #7110

🎯 Enhanced prompt templates

Added more prompt templates for common development tasks. By @jpoly1219 in #7068

Documentation overhaul

📚 Separate, indexable FAQ section

Restructured documentation with a dedicated FAQ section for better discoverability and direct linking. Added comprehensive Ollama troubleshooting and local assistant guides. By @bdougie in #7139

🚀 Quickstart examples

Added practical examples for agent mode, chat, autocomplete, and edit features to help users get started faster. By @BekahHW in #7184

📖 Model capabilities guide

New comprehensive guide covering model capabilities and tool use documentation. By @bdougie in #6901

✨ Documentation polish

Fixed broken links, updated image paths, and added smooth scrolling for improved navigation. By @bdougie in #6877, #6878, #6879, #7028

UI and user experience improvements

🔍 Tool status indicators

Added visual indicators showing when tools are running with search and replace operations. By @RomneyDa in #7112

🖱️ Middle-click tab closing

Tabs can now be closed using middle mouse button for faster navigation. By @ferenci84 in #6855

🎨 Staging mode visual feedback

Shows a yellow border when staging mode is active for clearer visual state indication. By @uinstinct in #6819

🚫 Text selection improvements

Prevented accidental text selection when double-clicking tool policy buttons. By @uinstinct in #7094

Enterprise and organizational features

🏢 Organizational policy support

Continue now respects organizational policies for enterprise deployments. By @RomneyDa in #7087

🔑 Enterprise license key action

Added "Enter Enterprise License Key" action for enterprise activation. By @exigow in #7159

Continuous AI workflow automation

🤖 Continuous AI review bot

Implemented automated code review using AI for pull requests. By @tomasz-stefaniak in #7099, #7106

🏷️ Automated PR labeling

GitHub workflow now automatically labels merged pull requests for better organization. By @bdougie in #6833

💬 Duplicate issue management

Added automated commenting on duplicate issues to reduce noise. By @bdougie in #7066

Bug fixes and improvements

🐛 Terminal workspace fix

Fixed terminal usage when no workspace is open. By @chezsmithy in #6846

🎨 CSS file indexing

Resolved issue where CSS files weren't being properly indexed. By @su0as in #7375

🔧 VS Code apply error

Fixed error when applying code changes in VS Code. By @QianKuang8 in #7168

🎯 Reranker score handling

Fixed edge case when reranker returns invalid score arrays. By @uinstinct in #6777

🌑 Dark theme fallback

Unsupported themes now properly fall back to dark-plus theme. By @jpoly1219 in #7187

📊 Anthropic token limit

Increased default max_tokens for Anthropic API to 32k for better completions. By @sestinj in #6722

New contributors

Welcome to @44cort44, @QianKuang8, and all first-time contributors who helped make Continue better!

✂️ Edit mode streamlined

Edit is no longer a separate selectable mode. Instead, the editing experience has been simplified into a single, streamlined edit state, making the UI more intuitive and reducing complexity.

🛠️ Enhanced Model Context Protocol (MCP) support

We added support for two new Model Context Protocol (MCP) transports: SSE and Streamable HTTP, so that you can remotely host your MCP servers.

We also introduced support for resource templates.

⏹️ Apply streaming now cancelable

You can now cancel the "Apply" streaming process at any time using the UI or keyboard shortcuts. This gives you more control over long-running or unwanted changes.

🤖 Agent mode with Devstral

Continue now supports tool calling with a wider range of models, including Devstral.

⚡️ Faster agent mode

By avoiding full-file rewrites and using AST-based methods for deterministically applying code, agent mode can quickly make targeted edits to multiple-hundred-line files. See an example here

💨 mercury-coder-small

Released by Inception Labs, mercury-coder-small is a diffusion-based language model trained for nearly instant autocomplete suggestions. It is now available and ready for use in Continue

This release also includes many UI improvements to Edit mode and tool outputs

📝 Automatic rule creation

Continue can now write rules for you! Just ask while in agent mode and it will automatically generate the file in ~/.continue/rules

⚡️ Fast apply

Continue now supports fast apply via various models on the hub, including Relace Instant Apply and Morph v0.

⚙️ The "notch"

The "notch" is an easy-access control panel for your custom assistant, right above the chat input box. Toggle rules, bookmark prompts, allow tools, and manage your blocks without leaving the current session.

🔍 LLM logs

Thanks to a great community contribution, Continue comes with a purpose-built UI for viewing the exact prompt and completion from your LLM, along with other important request metadata. Turn it on in VS Code settings -> Continue: Enable Console

🛠️ Improved tools

With a faster edit tool, ripgrep for search, and a new glob-based file search, agent mode will be able to navigate and modify your codebase much more efficiently

✨ Introducing agent mode

What used to be called "tool use" was promoted to the more prominent "agent mode" and given a lot more polish. When in agent mode, Continue can autonomously read and write files, run terminal commands, search the codebase or internet, and more.

🔖 Tabs

For those that enjoy many open browser tabs, this is for you. When tabs are enabled, starting a new chat will create a new tab, making it easier to access the previous.

💻 Local assistants

To speed up the feedback loop when building custom assistants, you can now define them locally in your workspace or the global ~/.continue folder. Read more in the docs.

Continue 1.0 introduces the ability to create multiple custom assistants using the ecosystem of models, rules, MCP servers, and more from hub.continue.dev. Read more about the launch here