Selfdual strings and loop space Nahm equations
  We give two independent arguments why the classical membrane fields should be loops. The first argument comes from how we may construct selfdual strings in the M5 brane from a loop space version of the Nahm equations. The second argument is that there appears to be no infinite set of finite-dimensional Lie algebras (such as $su(N)$ for any $N$) that satisfies the algebraic structure of the membrane theory. 
Andreas Gustavsson