Key regulator of the Wnt signaling pathway, which is required for various processes during development, such as dorsal patterning, determination of left/right symmetry or myelination in the central nervous system (PubMed:22227309, PubMed:24091014, PubMed:25754822). Acts downstream of Wnt ligands and upstream of beta-catenin (CTNNB1) (PubMed:22227309, PubMed:25754822). Required for canonical Wnt signaling pathway during patterning in the dorsal spinal cord by promoting the aggregation of Disheveled (Dvl) complexes, thereby clustering and formation of Wnt receptor signalosomes and potentiating Wnt activity (PubMed:22227309). During dorsal patterning of the spinal cord, inhibits oligodendrocytes differentiation via interaction with PIP5K1A (PubMed:25754822). Also regulates non-canonical Wnt signaling pathway (PubMed:24091014). Acts downstream of PITX2 in the developing gut and is required for left/right asymmetry within dorsal mesentery: affects mesenchymal condensation by lengthening cadherin-based junctions through WNT5A and non-canonical Wnt signaling, inducing polarized condensation in the left dorsal mesentery necessary to initiate gut rotation (PubMed:24091014). Together with DAAM1, required for myocardial maturation and sarcomere assembly (PubMed:26526197). Is a regulator of actin nucleation and elongation, filopodia formation and podocyte migration (By similarity). Interacts with DVL3. Interacts with INF2 (By similarity). In early embryogenesis, expression is confined to embryonic ectoderm. Highly dynamic expression in later stages of gastrulation. In early somite stages, detected in posterior node and persists until 9-10 somites have developed when expression is concentrated in the chordoneural hinge. During organogenesis, expressed in the CNS, PNS, liver primordia, limb buds and genital tubercle. Expressed in the embryonic myocardium: not expressed in the myocardium at 9.5 dpc but is present in epicardial cells. At 10.5 dpc, expressed in the mesenchyme surrounding the ventral foregut and in regions enriched in cardiac progenitors, as well as the epicardium and lining of the pericardial cavity. By 12.5 dpc, expressed throughout the myocardium and ventricular trabeculae. The DAD domain regulates activation via by an autoinhibitory interaction with the GBD/FH3 domain. This autoinhibition is released upon competitive binding of an activated GTPase. The release of DAD allows the FH2 domain to then nucleate and elongate nonbranched actin filaments (By similarity). Conditional knockout mice lacking Daam2 in myocardial cells do not show any heart defects. Conditional knockout mice lacking Daam1 and Daam2 in myocardial cells show cardiomyopathy, which is stronger than with a single Daam1 deletion. Belongs to the formin homology family. Extended N-terminus. Partially unspliced pre-RNA.