Abstract
In a "naive" attempt to create algebraic quantum field theories on the circle, we obtain a family of unitary representations of Thompson's groups T and F for any subfactor. The Thompson group elements are the "local scale transformations" of the theory. In a simple case the coefficients of the representations are polynomial invariants of links. We show that all links arise and introduce new "oriented" subgroups and which allow us to produce all \emph{oriented} knots and links.
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