The outer capsid of the nonenveloped mammalian reovirus contains 200 trimers of the 1 protein, each complexed with three copies of the protector protein 3. Conformational changes in 1 following the proteolytic removal of 3 lead to release of the myristoylated N-terminal cleavage fragment 1N and ultimately to membrane penetration. The 1N fragment forms pores in red blood cell (RBC) membranes. In this report, we describe the interaction of recombinant 1 trimers and synthetic 1N peptides with both RBCs and liposomes. The 1 trimer mediates hemolysis and liposome disruption under conditions that promote the 1 conformational change, and mutations that inhibit 1 conformational change in the context of intact virus particles also prevent liposome disruption by particle-free 1 trimer. Autolytic cleavage to form 1N is required for hemolysis but not for liposome disruption. Pretreatment of RBCs with proteases rescues hemolysis activity, suggesting that 1N cleavage is not required when steric barriers are removed. Synthetic myristoylated 1N peptide forms size-selective pores in liposomes, as measured by fluorescence dequenching of labeled dextrans of different sizes. Addition of a C-terminal solubility tag to the peptide does not affect activity, but sequence substitution V13N or L36D reduces liposome disruption. These substitutions are in regions of alternating hydrophobic residues. Their locations, the presence of an N-terminal myristoyl group, and the full activity of a C-terminally extended peptide, along with circular dichroism data that indicate prevalence of -strand secondary structure, suggest a model in which 1N -hairpins assemble in the membrane to form a -barrel pore.