Type 2 diabetes has become a pervasive public health problem. The etiology of the disease has not been fully defined but appears to involve abnormalities in peripheral and central nervous system pathways, as well as prominent inflammatory components. Because nicotinic acetylcholine receptors (nAChRs) are known to interact with anti-inflammatory pathways and have been implicated in control of appetite and body weight, as well as lipid and energy metabolism, we examined their role in modulating biological parameters associated with the disease. In a model of type 2 diabetes, the homozygous leptin-resistant db/db obese mouse, we measured the effects of a novel ␣7 nAChR-selective agonist [5-methyl-N-[2-(pyridin-3-ylmethyl)-1-azabicyclo[2.2.2]oct-3-yl]thiophene-2-carboxamide (TC-7020)] on body mass, glucose and lipid metabolism, and proinflammatory cytokines. Oral administration of TC-7020 reduced weight gain and food intake, reduced elevated glucose and glycated hemoglobin levels, and lowered elevated plasma levels of triglycerides and the proinflammatory cytokine tumor necrosis factor-␣. These changes were reversed by the ␣7-selective antagonist methyllycaconitine, confirming the involvement of ␣7 nAChRs. Prevention of weight gain, decreased food intake, and normalization of glucose levels were also blocked by the Janus kinase 2 (JAK2) inhibitor ␣-cyano-(3,4-dihydroxy)-N-benzylcinnamide (AG-490), suggesting that these effects involve linkage of ␣7 nAChRs to the JAK2-signal transducer and activator of transcription 3 signaling pathway. The results show that ␣7 nAChRs play a central role in regulating biological parameters associated with diabetes and support the potential of targeting these receptors as a new therapeutic strategy for treatment.In 2000 it was reported that at least 171 million people worldwide (2.8% of the population) suffered from diabetes, and it has been estimated that the incidence will almost double by the year 2030 (Wild et al., 2004). The Centers for Disease Control and Prevention has designated the disease an epidemic. Specific pathogenic entities contributing to diabetic risk, such as central adiposity, ectopic fat accumulation, hyperlipidemia, and inflammation, have been well characterized. In general, diabetes is believed to be secondary to an insulin-resistant state, which is associated with excess adiposity (Sykiotis and Papavassiliou, 2001). Insulin resistance in skeletal muscle, liver, and adipose tissue impedes glucose uptake and results in the release of free fatty acids and the characteristically associated dyslipidemia. Elevations in postprandial blood glucose levels and ultimately in fasting glucose levels result in compensatory hyperinsulinemia, a condition that is initially accompanied by islet -cell hypertrophy and eventual failure (Sykiotis and Papavassiliou, 2001).A key factor that underlies the development of diabetes is a characteristic systemic inflammation, marked by increases in the venous blood concentrations of C-reactive protein, interleukin 6 (IL-6), and tum...