Promptlys uses Retrieval-Augmented Generation (RAG) to ground AI responses in factual data, such as IRS forms, legal databases,
or internal company documents. This enables agents to provide citations for their answers, which dramatically reduces "hallucinations"βthe tendency for AI to
generate false facts with confidence. Furthermore, by using "chain-of-thought" reasoning, agents are trained to solve multi-step queries by breaking down logic and
walking users through complex decision trees.