Does seamless looping mean the user should go to the very start of the game, to square one, or can it be interpreted as just something that seamlessly loops to where it was before

Also, will one interpreted like the latter lose marks due to lack of relevance to the limitation?

I personally will interpret the theme a bit in a broad way, but I feel like it will be close enough. Having room for your own creative approach is what makes it interesting, right?