Sequence analysis of the diiron cluster-containing soluble desaturases suggests they are unrelated to other diiron enzymes; however, structural alignment of the core four-helix bundle of desaturases to other diiron enzymes reveals a conserved iron binding motif with similar spacing in all enzymes of this structural class, implying a common evolutionary ancestry. Detailed structural comparison of the castor desaturase with that of a peroxidase, rubrerythrin, shows remarkable conservation of both identity and geometry of residues surrounding the diiron center, with the exception of residue 199. Position 199 is occupied by a threonine in the castor desaturase, but the equivalent position in rubrerythrin contains a glutamic acid. We previously hypothesized that a carboxylate in this location facilitates oxidase chemistry in rubrerythrin by the close apposition of a residue capable of facilitating proton transfer to the activated oxygen (in a hydrophobic cavity adjacent to the diiron center based on the crystal structure of the oxygen-binding mimic azide). Here we report that desaturase mutant T199D binds substrate but its desaturase activity decreases by Ϸ2 ؋ 10 3 -fold. However, it shows a >31-fold increase in peroxide-dependent oxidase activity with respect to WT desaturase, as monitored by single-turnover stopped-flow spectrometry. A 2.65-Å crystal structure of T199D reveals active-site geometry remarkably similar to that of rubrerythrin, consistent with its enhanced function as an oxidase enzyme. That a single amino acid substitution can switch reactivity from desaturation to oxidation provides experimental support for the hypothesis that the desaturase evolved from an ancestral oxidase enzyme.binuclear ͉ diiron ͉ enzyme N onheme diiron-containing four-helix-bundle proteins possess the ability to functionalize unactivated C-H groups and mediate a diversity of chemical reactions including oxidation, hydroxylation, desaturation, and epoxidation (1, 2). A wealth of mechanistic information is available from various diironcontaining proteins including methane monooxygenases, ⌬ 9 desaturases, ribonucleotide reductases, rubrerythrins, alternate oxidases, ferritins, and bacterioferritins (1-3).The diiron-containing proteins are highly divergent in their amino acid sequences, with identities typically falling below that necessary for conventional phylogenetic analysis. However, when the analysis is restricted to the four helices that coordinate the diiron active site, the amino acid identity rises to 16-31% (4). A shared diiron-binding motif within the conserved four-helix bundle is involved in oxygen chemistry. The reactions have been described as occurring in two phases, an oxygen activation phase followed by reaction phases (1). Oxygen activation likely placed strong evolutionary constraints on the organization of the diiron center, whereas the reaction phases exhibit great diversity of functional outcome. In addition to their individual catalytic reactions, rubrerythrin, methane monooxygenase, ribonucleotide reductas...