Induces cartilage and bone formation. Also act in mesoderm induction, tooth development, limb formation and fracture repair. Acts in concert with PTHLH/PTHRP to stimulate ductal outgrowth during embryonic mammary development and to inhibit hair follicle induction. Homodimer; disulfide-linked. Interacts with GREM2. Part of a complex consisting of TWSG1 and CHRD. Interacts with the serine proteases, HTRA1 and HTRA3; the interaction with either inhibits BMP4-mediated signaling. The HTRA protease activity is required for this inhibition. Interacts with SOSTDC1. Expressed in the lung and lower levels seen in the kidney. Present also in normal and neoplastic prostate tissues, and prostate cancer cell lines. Belongs to the TGF-beta family. Note: This description may include information from UniProtKB.
Biological Process: activation of MAPKK activity; alveolus development; blood vessel endothelial cell proliferation during sprouting angiogenesis; BMP signaling pathway; branching morphogenesis of a tube; cellular protein metabolic process; chondrocyte differentiation; common-partner SMAD protein phosphorylation; endochondral ossification; hemopoietic progenitor cell differentiation; intermediate mesodermal cell differentiation; kidney development; lymphoid progenitor cell differentiation; macrophage differentiation; mesonephros development; monocyte differentiation; negative regulation of apoptosis; negative regulation of cell cycle; negative regulation of cell proliferation; negative regulation of immature T cell proliferation in the thymus; negative regulation of MAP kinase activity; negative regulation of mitosis; negative regulation of myoblast differentiation; negative regulation of phosphorylation; negative regulation of striated muscle development; negative regulation of T cell differentiation in the thymus; negative regulation of transcription from RNA polymerase II promoter; negative regulation of transcription, DNA-dependent; odontogenesis; osteoblast differentiation; positive regulation of apoptosis; positive regulation of BMP signaling pathway; positive regulation of bone mineralization; positive regulation of cardiac muscle fiber development; positive regulation of collagen biosynthetic process; positive regulation of endothelial cell proliferation; positive regulation of epidermal cell differentiation; positive regulation of epithelial cell proliferation; positive regulation of ossification; positive regulation of osteoblast differentiation; positive regulation of protein amino acid phosphorylation; positive regulation of protein binding; positive regulation of smooth muscle cell proliferation; positive regulation of transcription from RNA polymerase II promoter; positive regulation of transcription, DNA-dependent; post-embryonic development; post-translational protein modification; regulation of cell fate commitment; regulation of protein import into nucleus; smooth muscle development; smoothened signaling pathway; steroid hormone mediated signaling; telencephalon development; ureteric bud branching; ureteric bud development