Dorsoventral patterning of vertebrate and Drosophila embryos requires
bone morphogenetic proteins (BMPs) and antagonists of BMP activity. Th
e Drosophila gene tolloid encodes a metalloprotease similar to BMP-1 t
hat interacts genetically with decapentaplegic, the Drosophila homolog
of vertebrate BMP-2/4. Zebrafish embryos overexpressing a zebrafish h
omolog of tolloid were shown to resemble loss-of-function mutations in
chordino, the zebrafish homolog of the Xenopus BMP-4 antagonist Chord
in. Furthermore, Chordin was degraded by COS cells expressing Tolloid.
These data suggest that Tolloid antagonizes Chordin activity by prote
olytically cleaving Chordin, A conserved function for zebrafish and Dr
osophila Tolloid during embryogenesis is proposed.