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Macroscopic life forms - living in nutrient-rich oceans more than 540 million years ago - likely fed by osmosis. Due mainly to the absence of animals with true guts capable of packaging organic matter into fecal pellets, there was a much greater pool of nutrients in deep waters. Without fecal pellets, organic substances would have remained in suspension and decomposed into fats and proteins capable of dissolution into marine waters. Researchers believe these compounds were then absorbed via osmosis by these life forms. [Source: Life Science News]
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