Transcriptional repressor involved in embryonic nervous system development. Plays a role in the induction and patterning of the anterior-posterior neural axis. Involved in the establishment of floor plate differentiation from neural plate cells during gastrulation. Binds the anf1 promoter sequence to restrict expression of anf1 to the anterior of the neural plate, thereby patterning the forebrain. Can bind to the HNF-3-alpha DNA target sequence. Cooperates with t/bra in a dose-dependent manner to specify dorsal mesoderm formation, including notochord. May be involved in the dorso-ventral patterning of the mesoderm. Binds to DNA via the target sequence 5'-[GA]TAAA[TC]A-3', with 5'-GTAAATA-3' being the preferred binding site (By similarity). Primarily expressed in the dorsal blastopore lip (Spemann organizer) of early gastrulae. At later stages, expressed in the dorsal mesoderm and the neural floor plate. In the dorsal mesoderm, expressed in the notochord but not in the presomitic mesoderm. Also expressed in the mid-brain area. First expressed shortly after the mid blastula transition. Most abundant during gastrulation (stages 10 and 12). By activin. Down-regulated indirectly by bmp-4 signaling, mediated via vent1.