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+## Problem
+
+During normal Agent usage, the flow silently stops mid-conversation. The AI says "now I'll read the files" and then never continues. No tool call, no more text, no error. It just freezes.
+
+## Root Causes
+
+### 1. Actor not emitting end-stream on channel close (actor.rs)
+When the command channel closes or receives Abort, the actor only called handle.cancel() which sets the cancellation token but never emits an end-stream frame. The SSE stream hangs indefinitely.
+
+### 2. lifecycle encoding failure skips close_output() (lifecycle.rs)
+Both fail() and cancel() used the ? operator on encode_error_end_stream(), meaning if serialization fails, close_output() is never called. The stream stays open silently.
+
+### 3. Context/blob sync timeouts too aggressive (context_sync.rs, blob_sync.rs)
+Hardcoded 15-second timeouts kill sessions silently on slow networks or with proxy configurations.
+
+### 4. Bash tool not recognized (dispatch/mod.rs)
+Cursor IDE sends "Bash" tool calls but the server only recognized "Shell", causing "unsupported tool: Bash" errors.
+
+## Changes
+
+- actor.rs: Use lifecycle::cancel() instead of handle.cancel()
+- lifecycle.rs: Use match instead of ? with fallback end-stream frame
+- sessions.rs: Document correct Notify pattern
+- context_sync.rs: 15s to 60s timeout
+- blob_sync.rs: 15s to 60s timeout (SET and GET)
+- dispatch/mod.rs: Add Bash tool alias for Shell
+- openai_chat.rs: Add detailed debug logging
+- router.rs: Add detailed debug logging
+
+## Testing
+
+- All existing tests pass
+- cargo check compiles cleanly
+- Both debug and release builds succeed
+- Tested with Cursor BYOK desktop app
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