There is a growing feeling that biomolecular structure is not sufficie
nt to determine biological activity which is also governed by large am
plitude dynamics of the molecules. The transcription of DNA or its the
rmal denaturation are typical examples. Traditional approaches use Isi
ng models to describe the denaturation transition of DNA. They have to
introduce phenomenological ''cooperativity factors'' to explain the r
ather sharp ''melting'' of this quasi one-dimensional system. We prese
nt models which describe the full dynamics of the melting. Using molec
ular dynamics simulations and statistical analysis, we discuss the mec
hanism of the denaturation, including precursor effects that can be re
lated to large amplitude localized nonlinear excitations of the molecu
le in which discreteness effects play a large role. We also show the m
icroscopic origin of the cooperativity factors.