I use Claude in VS Code and the biggest pain was running out of context mid-chat.
Every new chat meant re-explaining everything. I had a project-documentation.md but it ate up 70% of the context alone.
So I asked Claude to update that doc.
It did something better.
It created a MEMORY.md inside .claude directory. Concise wording, full context. Just what mattered.
Best part? Claude picks it up automatically. No need to reference it.
Now I ask Claude to update MEMORY.md, start a new chat and say keep working on this. It picks up right where it left off.
This is a documented feature called Auto Memory. Still rolling out gradually.
If not working for you, opt in with:
CLAUDE_CODE_DISABLE_AUTO_MEMORY=0
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I'd ship A! More scannable, feels like a quick moment indeed. That side-by-side layout + visibility toggle is so clean. B feels a bit too heavy for daily capture. Love both though! ✨