diff --git a/docs/DESIGN.md b/docs/DESIGN.md
index 41f2d1883314321bfd53db0397a25f220d384eda..21039d0250446f81887d0f258057385c290d75f3 100644
--- a/docs/DESIGN.md
+++ b/docs/DESIGN.md
@@ -568,10 +568,45 @@ intra-paragraph diffing over the rendered block structure**, not
 `diff --git` output piped into a viewer.
 
 This is the single UI decision that determines whether the service is pleasant or
-useless, which is why it is the Phase 0 gate below. Note that compare.sr.ht's
-`@pierre/diffs` bundle is a *code* differ and is the wrong tool here; the prose
-differ is likely net-new (segment into blocks → align blocks → word-diff within
-matched blocks).
+useless, which is why it was the Phase 0 gate. compare.sr.ht's `@pierre/diffs`
+bundle is a *code* differ and is the wrong tool here; the prose differ is
+net-new (segment into blocks → align blocks → word-diff within matched blocks).
+
+#### Phase 0 verdict: PASSED — build the review UI on this
+
+Measured against 11 real adjacent-commit pairs of this very document, plus a
+control. **The headline number: rewrapping the real 1139-line `docs/DESIGN.md`
+from ~80 to 58 columns, without changing a single word, produces 1563 changed
+lines under a line differ and exactly 0 changes under the prose differ.** That is
+the whole premise of the service, confirmed rather than assumed.
+
+**But the verdict carries a Phase 4 requirement.** Of 69 real prose
+modifications: 39% are one clean substitution, 38% a few separate edits, 10%
+busy but followable, and **13% shred** into interleaved fragments. The shredding
+is genuine — those paragraphs really were rewritten sentence by sentence — and is
+therefore **not fixable in the differ**. It is a presentation problem:
+
+> Every badly-shredded block scores `Similarity ≤ 0.73`. The review UI must
+> render **inline word diffs above ~0.75 and a two-column old/new view below
+> it**. `Similarity` is exported on every change for exactly this switch.
+
+Building only the inline renderer would make one review in eight unreadable, and
+that is the one where the agent rewrote the most.
+
+**Known limitations, each pinned by a test rather than discovered later:**
+
+- **Moves need a verbatim anchor.** A verbatim section move reports as moves, and
+  a move with one edited block inside is bridged — but a section rewritten *while*
+  moving falls through as add + remove. Deliberate: matching moves by similarity
+  alone invents relationships, and a wrong "moved from line 1065" costs a reviewer
+  more than an honest add + remove.
+- **Table alignment rows are invisible.** goldmark folds `|---|---|` into the
+  table node, so `|---|` → `|:--|` reports no change at all. A real gap; small,
+  but silent.
+- Word diffs inside a table row can straddle a cell boundary; cell-aware diffing
+  is a cheap later addition.
+- Blocks of two words or fewer fall below the short-block similarity floor and
+  become add + remove rather than a word diff.
 
 ### Comment anchoring (post-v1, but design now)
 
@@ -583,6 +618,12 @@ Anchor to `(doc id, heading path, block index, block content hash)`. Resolve by
 content hash first, fall back to heading-path + block index, and when both fail
 mark the comment **outdated** rather than silently relocating it. Anchoring to
 `doc id` rather than path is what makes comments survive renames.
+
+**The Phase 0 differ already emits this tuple**, so the anchoring model is
+validated earlier than expected: every block carries `Hash`, `HeadingPath` and
+`Ordinal`. One detail worth keeping — **`HeadingPath` is deliberately not part of
+the hash**, so renaming a section does not dirty every block beneath it and
+orphan every comment in it at once.
 
 ## Agent identity and provenance
 
@@ -1064,9 +1105,11 @@ 11. Anonymous request → no content leaks; logged-in as bigbes → full access.
 
 ## Open risks
 
-- **Prose diff quality (highest).** Everything downstream of the browser-review
-  decision assumes it reads well. No fallback is designed; Phase 0 exists to find
-  out early rather than late.
+- ~~**Prose diff quality (highest).**~~ **Retired — Phase 0 passed.** Rewrapping
+  this document from 80 to 58 columns yields 1563 line-differ changes and 0
+  prose-differ changes. The residual risk moved to the review UI: 13% of real
+  modifications shred, and the two-column fallback above is now a Phase 4
+  requirement rather than a nicety.
 - **go-git and native `receive-pack` on the same refs.** Mitigated by a per-space
   mutex and CAS retry, but the interoperation of the two locking implementations
   is assumed rather than proven. Worth a deliberate concurrent-push test.