diff --git a/compiler/packages/babel-plugin-react-forget/src/HIR/Environment.ts b/compiler/packages/babel-plugin-react-forget/src/HIR/Environment.ts
index fc9ac6d7b1..134f0cb3bc 100644
--- a/compiler/packages/babel-plugin-react-forget/src/HIR/Environment.ts
+++ b/compiler/packages/babel-plugin-react-forget/src/HIR/Environment.ts
@@ -119,6 +119,10 @@ const EnvironmentConfigSchema = z.object({
    * Our recommendation is to first try running your application with this flag enabled, then attempt
    * to disable this flag and see what changes or breaks. This will mostly likely be effects that
    * depend on referential equality, which can be refactored (TODO guide for this).
+   *
+   * NOTE: this mode treats freeze as a transitive operation for function expressions. This means
+   * that if a useEffect or useCallback references a function value, that function value will be
+   * considered frozen, and in turn all of its referenced variables will be considered frozen as well.
    */
   enablePreserveExistingMemoizationGuarantees: z.boolean().default(false),
 
@@ -245,41 +249,6 @@ const EnvironmentConfigSchema = z.object({
    */
   enableEmitInstrumentForget: ExternalFunctionSchema.nullish(),
 
-  /*
-   * Forget infers certain operations as "freezing" a value, such that those
-   * values should not be subsequently mutated. By default this freeze operation
-   * applies to the value itself and its direct aliases, but not values captured
-   * by the value being frozen.
-   *
-   * In the following, passing `x` to JSX freezes it, which includes freezing `y`
-   * and `z` which x may alias:
-   *
-   * ```
-   * let x;
-   * if (cond) {
-   *    x = y
-   * } else {
-   *    x = z;
-   * }
-   * <div>{x}</div>
-   * ```
-   *
-   * However, in the following example we currently only consider x itself to be
-   * frozen, not `y` or `z`:
-   *
-   * ```
-   * let y = ...;
-   * let z = ...;
-   * let x = () => { return [y, z]; };
-   * <div>{x}</div>
-   * ```
-   *
-   * With this flag enabled, function expression dependencies (values closed over)
-   * are transitively frozen when the function itself is frozen. So in this case,
-   * `y` and `z` would be frozen when `x` is frozen.
-   */
-  enableTransitivelyFreezeFunctionExpressions: z.boolean().default(false),
-
   // Enable merging consecutive scopes that invalidate together.
   enableMergeConsecutiveScopes: z.boolean().default(true),
 
diff --git a/compiler/packages/babel-plugin-react-forget/src/Inference/InferReferenceEffects.ts b/compiler/packages/babel-plugin-react-forget/src/Inference/InferReferenceEffects.ts
index 200f3762f7..a7227a5497 100644
--- a/compiler/packages/babel-plugin-react-forget/src/Inference/InferReferenceEffects.ts
+++ b/compiler/packages/babel-plugin-react-forget/src/Inference/InferReferenceEffects.ts
@@ -354,7 +354,7 @@ class InferenceState {
               reason: reasonSet,
             });
 
-            if (this.#env.config.enableTransitivelyFreezeFunctionExpressions) {
+            if (this.#env.config.enablePreserveExistingMemoizationGuarantees) {
               if (value.kind === "FunctionExpression") {
                 for (const operand of eachInstructionValueOperand(value)) {
                   this.reference(operand, Effect.Freeze, ValueReason.Other);
diff --git a/compiler/packages/babel-plugin-react-forget/src/__tests__/fixtures/compiler/transitive-freeze-array.expect.md b/compiler/packages/babel-plugin-react-forget/src/__tests__/fixtures/compiler/transitive-freeze-array.expect.md
index f019a12a0c..794af42f53 100644
--- a/compiler/packages/babel-plugin-react-forget/src/__tests__/fixtures/compiler/transitive-freeze-array.expect.md
+++ b/compiler/packages/babel-plugin-react-forget/src/__tests__/fixtures/compiler/transitive-freeze-array.expect.md
@@ -2,7 +2,7 @@
 ## Input
 
 ```javascript
-// @enableTransitivelyFreezeFunctionExpressions
+// @enablePreserveExistingMemoizationGuarantees
 const { mutate } = require("shared-runtime");
 
 function Component(props) {
@@ -10,7 +10,7 @@ function Component(props) {
   const y = {};
   const items = [x, y];
   items.pop();
-  <div>{items}</div>; // note: enableTransitivelyFreezeFunctionExpressions only visits function expressions, not arrays, so this doesn't freeze x/y
+  <div>{items}</div>; // note: enablePreserveExistingMemoizationGuarantees only visits function expressions, not arrays, so this doesn't freeze x/y
   mutate(y); // ok! not part of `items` anymore bc of items.pop()
   return [x, y, items];
 }
@@ -25,7 +25,7 @@ export const FIXTURE_ENTRYPOINT = {
 ## Code
 
 ```javascript
-import { unstable_useMemoCache as useMemoCache } from "react"; // @enableTransitivelyFreezeFunctionExpressions
+import { unstable_useMemoCache as useMemoCache } from "react"; // @enablePreserveExistingMemoizationGuarantees
 const { mutate } = require("shared-runtime");
 
 function Component(props) {
diff --git a/compiler/packages/babel-plugin-react-forget/src/__tests__/fixtures/compiler/transitive-freeze-array.js b/compiler/packages/babel-plugin-react-forget/src/__tests__/fixtures/compiler/transitive-freeze-array.js
index ee9985c731..32f45d27d2 100644
--- a/compiler/packages/babel-plugin-react-forget/src/__tests__/fixtures/compiler/transitive-freeze-array.js
+++ b/compiler/packages/babel-plugin-react-forget/src/__tests__/fixtures/compiler/transitive-freeze-array.js
@@ -1,4 +1,4 @@
-// @enableTransitivelyFreezeFunctionExpressions
+// @enablePreserveExistingMemoizationGuarantees
 const { mutate } = require("shared-runtime");
 
 function Component(props) {
@@ -6,7 +6,7 @@ function Component(props) {
   const y = {};
   const items = [x, y];
   items.pop();
-  <div>{items}</div>; // note: enableTransitivelyFreezeFunctionExpressions only visits function expressions, not arrays, so this doesn't freeze x/y
+  <div>{items}</div>; // note: enablePreserveExistingMemoizationGuarantees only visits function expressions, not arrays, so this doesn't freeze x/y
   mutate(y); // ok! not part of `items` anymore bc of items.pop()
   return [x, y, items];
 }
diff --git a/compiler/packages/babel-plugin-react-forget/src/__tests__/fixtures/compiler/transitive-freeze-function-expressions.expect.md b/compiler/packages/babel-plugin-react-forget/src/__tests__/fixtures/compiler/transitive-freeze-function-expressions.expect.md
index 009fe6d34d..8478234590 100644
--- a/compiler/packages/babel-plugin-react-forget/src/__tests__/fixtures/compiler/transitive-freeze-function-expressions.expect.md
+++ b/compiler/packages/babel-plugin-react-forget/src/__tests__/fixtures/compiler/transitive-freeze-function-expressions.expect.md
@@ -2,7 +2,7 @@
 ## Input
 
 ```javascript
-// @enableTransitivelyFreezeFunctionExpressions
+// @enablePreserveExistingMemoizationGuarantees
 function Component(props) {
   const { data, loadNext, isLoadingNext } =
     usePaginationFragment(props.key).items ?? [];
@@ -31,7 +31,7 @@ function Component(props) {
 ## Code
 
 ```javascript
-import { unstable_useMemoCache as useMemoCache } from "react"; // @enableTransitivelyFreezeFunctionExpressions
+import { unstable_useMemoCache as useMemoCache } from "react"; // @enablePreserveExistingMemoizationGuarantees
 function Component(props) {
   const $ = useMemoCache(10);
   const { data, loadNext, isLoadingNext } =
diff --git a/compiler/packages/babel-plugin-react-forget/src/__tests__/fixtures/compiler/transitive-freeze-function-expressions.js b/compiler/packages/babel-plugin-react-forget/src/__tests__/fixtures/compiler/transitive-freeze-function-expressions.js
index 7a3dd5a5e5..bd6897cd32 100644
--- a/compiler/packages/babel-plugin-react-forget/src/__tests__/fixtures/compiler/transitive-freeze-function-expressions.js
+++ b/compiler/packages/babel-plugin-react-forget/src/__tests__/fixtures/compiler/transitive-freeze-function-expressions.js
@@ -1,4 +1,4 @@
-// @enableTransitivelyFreezeFunctionExpressions
+// @enablePreserveExistingMemoizationGuarantees
 function Component(props) {
   const { data, loadNext, isLoadingNext } =
     usePaginationFragment(props.key).items ?? [];
diff --git a/compiler/packages/babel-plugin-react-forget/src/__tests__/fixtures/compiler/useCallback-call-second-function-which-captures-maybe-mutable-value-preserve-memoization.expect.md b/compiler/packages/babel-plugin-react-forget/src/__tests__/fixtures/compiler/useCallback-call-second-function-which-captures-maybe-mutable-value-preserve-memoization.expect.md
index 874a4120eb..30e27e710b 100644
--- a/compiler/packages/babel-plugin-react-forget/src/__tests__/fixtures/compiler/useCallback-call-second-function-which-captures-maybe-mutable-value-preserve-memoization.expect.md
+++ b/compiler/packages/babel-plugin-react-forget/src/__tests__/fixtures/compiler/useCallback-call-second-function-which-captures-maybe-mutable-value-preserve-memoization.expect.md
@@ -49,28 +49,47 @@ import {
 } from "shared-runtime";
 
 function Component(props) {
-  const $ = useMemoCache(1);
-  const object = makeObject_Primitives();
-
-  useHook();
-
-  const log = () => {
-    logValue(object);
-  };
-
-  const onClick = () => {
-    log();
-  };
-
-  identity(object);
+  const $ = useMemoCache(4);
   let t0;
   if ($[0] === Symbol.for("react.memo_cache_sentinel")) {
-    t0 = <div onClick={onClick} />;
+    t0 = makeObject_Primitives();
     $[0] = t0;
   } else {
     t0 = $[0];
   }
-  return t0;
+  const object = t0;
+
+  useHook();
+  let t1;
+  if ($[1] === Symbol.for("react.memo_cache_sentinel")) {
+    t1 = () => {
+      logValue(object);
+    };
+    $[1] = t1;
+  } else {
+    t1 = $[1];
+  }
+  const log = t1;
+  let t2;
+  if ($[2] === Symbol.for("react.memo_cache_sentinel")) {
+    t2 = () => {
+      log();
+    };
+    $[2] = t2;
+  } else {
+    t2 = $[2];
+  }
+  const onClick = t2;
+
+  identity(object);
+  let t3;
+  if ($[3] === Symbol.for("react.memo_cache_sentinel")) {
+    t3 = <div onClick={onClick} />;
+    $[3] = t3;
+  } else {
+    t3 = $[3];
+  }
+  return t3;
 }
 
 export const FIXTURE_ENTRYPOINT = {