Ectopic bone formation after joint replacement or brain injury in humans is a serious complication that causes immobility of joints and severe pain. However, mechanisms underlying such ectopic bone formation are not fully understood. Bone morphogenetic protein (BMPs) are defined as inducers of ectopic bone formation, and they are regulated by several types of inhibitors. ANA is an antiproliferative molecule that belongs to Tob/BTG family, but its activity in bone metabolism has not been known. Here, we examined the role of ANA on ectopic bone formation activity of BMP. In ANA-deficient and wild-type mice, BMP2 was implanted to induce ectopic bone formation in muscle. ANA deficiency increased mass of newly formed bone in vivo compared with wild-type based on 3D-CT analyses. ANA mRNA was expressed in bone in vivo as well as in osteoblastic cells in vitro. Such ANA mRNA levels were increased by BMP2 treatment in MC3T3-E1 osteoblastic cells. Overexpression of ANA suppressed BMP-induced expression of luciferase reporter gene linked to BMP response elements in these cells. Conversely, ANA mRNA knockdown by small interference RNA enhanced the BMP-dependent BMP response element reporter expression. It also enhanced BMP-induced osteoblastic differentiation in muscle-derived C2C12 cells. Immunoprecipitation assay indicated that ANA interacts with Smad8. Thus, ANA is a suppressor of ectopic bone formation induced by BMP, and this inhibitory ANA activity is a part of the negative feedback regulation of BMP function.Ectopic or heterotopic bone formation is one of the major complications associated with joint replacement surgery and brain injury (1, 2). Such pathological ectopic bone formation and heterotopic ossification cause ankylosis of joints or persistent pain and significantly deteriorated quality of life. However, the molecules involved in these ectopic bone formation events have not been fully understood.Bone morphogenetic proteins (BMPs) 3 were first identified as an inducer of ectopic bone formation (3, 4). Although BMP2 is required for fracture healing, skeletal development of the limbs was normal in the absence of BMP2 (5). In contrast, BMP is absolutely required for ectopic bone formation in muscle (3), and no other growth factors could replace such potent ectopic bone formation activity of this molecule. Thus, BMP action on ectopic bone formation is one of the unique features of this molecule.BMP activity is under the control of several groups of modulators against its signaling pathway. One of these groups of modulators that control BMP2 signaling in osteoblasts includes the Tob/BTG antiproliferative protein family, comprising Btg1, Btg2, Tob, Tob2, Pc3, and ANA. These molecules share a homologous region (BTG/Tob homology domain) in their N-terminal ends (6) and suppress cell proliferation when they are overexpressed in NIH3T3 cells (7-13).Among the members of Tob/BTG family, Tob was shown to be a BMP antagonist previously (14, 15). However, effects of other members of Tob/BTG family on BMP activity have not y...