The gene product of Vaccinia virus gene H1, VH1, is the first identified dual specificity phosphatase (DSP). The human genome encodes 38 different VH1-like DSPs, which include major regulators of signaling pathways, highly dysregulated in disease states. VH1 down-regulates cellular antiviral response by dephosphorylating activated STAT1 in the IFN-␥/STAT1 signaling pathway. In this report, we have investigated the molecular basis for VH1 catalytic activity. Using small-angle x-ray scattering (SAXS), we determined that VH1 exists in solution as a boomerang-shaped dimer. Targeted alanine mutations in the dimerization domain (aa 1-27) decrease phosphatase activity while leaving the dimer intact. Deletion of the N-terminal dimer swapped helix (aa 1-20) completely abolishes dimerization and severely reduces phosphatase activity. An engineered chimera of VH1 that contains only one active site retains wild-type levels of catalytic activity. Thus, a dimeric quaternary structure, as opposed to two cooperative active sites within the same dimer is essential for VH1 catalytic activity. Together with laforin, VH1 is the second DSP reported in literature for which dimerization via an N-terminal dimerization domain is necessary for optimal catalytic activity. We propose that dimerization may represent a common mechanism to regulate the activity and substrate recognition of DSPs, often assumed to function as monomers.
Dual-specificity phosphatases (DSPs)2 represent a subclass of the protein-tyrosine phosphatase (PTP) superfamily that can dephosphorylate both phosphotyrosine and phosphoserine/ threonine containing substrates (1-5). The first identified DSP, VH1, is encoded by the conserved H1 locus of Vaccinia virus (6). In the past 20 years the list of identified VH1-like DSPs has been greatly expanded and now includes 61 different members (5). Based on sequence similarity and presence of functional/ binding domains, DSPs are usually divided into 7 diverse subgroups (5).Like classical PTPs, VH1-like DSPs contain a catalytic triad consisting of a cysteine, an arginine, and an aspartic acid, usually arranged in the context of an extended consensus motif (7). DSPs employ a similar catalytic mechanism as PTPs, characterized by the formation of a transient enzyme-phosphosubstrate intermediate (1, 2). Similar to PTPs, the DSP catalytic core shows a great degree of substrate specificity. The substrate however, can be non-peptidic for a number of DSPs. For instance, PTEN-like phosphatases dephosphorylate D3-phosphorylated inositol phospholipids (8), or the DSPs PIR (also known as DUSP11) and laforin have been shown to dephosphorylate mRNA (9) and phosphoglucans (10), respectively.The gene encoding VH1 is highly conserved among doublestranded DNA viruses of the Poxviridae family (11). Approximately 200 molecules of VH1 are packaged within the Vaccinia virion and are essential for the viability of Vaccinia virus (12). In vivo, VH1 is required for maturation of two-virion membraneassociated factors, namely A17 (13) and A14 (14). Upon inf...