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Signals from TGF-β superfamily receptors are transduced to the nucleus by Smad proteins, which transcriptionally activate target genes. In  Caenorhabditis elegans,  defects in a TGF-β-related pathway cause a reversible developmental arrest and metabolic shift at the dauer larval stage. Null mutations in  daf-3  suppress mutations in genes encoding this TGF-β signal, its receptors, and associated Smad signal transduction proteins.  daf-3  encodes a Smad protein that is most closely related to mammalian DPC4, and is expressed throughout development in many of the tissues that are remodeled during dauer development. DAF-4, the type II TGF-β receptor in this pathway, is also expressed in remodeled tissues. These data suggest that the DAF-7 signal from sensory neurons acts as a neuroendocrine signal throughout the body to directly regulate developmental and metabolic shifts in tissues that are remodeled during dauer formation. A full-length functional DAF-3/GFP fusion protein is predominantly cytoplasmic, and this localization is independent of activity of the upstream TGF-β-related pathway. However, this fusion protein is associated with chromosomes in mitotic cells, suggesting that DAF-3 binds DNA directly or indirectly. DAF-3 transgenes also interfere with dauer formation, perhaps attributable to a dosage effect. A truncated DAF-3/GFP fusion protein that is predominantly nuclear interferes with dauer formation, implying a role for DAF-3 in the nucleus. These data suggest that DAF-7 signal transduction antagonizes or modifies DAF-3 Smad activity in the nucleus to induce reproductive development; when DAF-7 signals are disabled, unmodified DAF-3 Smad activity mediates dauer arrest and its associated metabolic shift. Therefore,  daf-3  is unique in that it is antagonized, rather than activated, by a TGF-β pathway.

The DAF-3 Smad protein antagonizes TGF-β-related receptor signaling in the Caenorhabditis elegansdauer pathway