The Cerebellar Model Arithmetic Computer (CMAC) (Albus 1981) is well known as a good function approximator with local generalization abilities. Depending on the smoothness of the function to be approximated, the resolution as the smallest distinguishable part of the input domain plays a crucial role. If the binary quantizing functions in CMAC are dropped in favor of more general, continuous-valued functions, much better results in function approximation for smooth functions are obtained in shorter training time with less memory consumption. For functions with discontinuities, we obtain a further improvement by adapting the continuous encoding proposed in Eldracher and Geiger (1994) for difficult-to-approximate areas. Based on the already far better function approximation capability on continuous functions with a fixed topologically distributed encoding scheme in CMAC (Eldracher et al. 1994), we present the better results in learning a two-valued function with discontinuity using this adaptive topologically distributed encoding scheme in CMAC.