Class B1 (secretin family) G protein-coupled receptors (GPCRs) modulate a wide range of physiological functions, including glucose homeostasis, feeding behavior, fat deposition, bone remodeling, and vascular contractility. Endogenous peptide ligands for these GPCRs are of intermediate length (27-44 aa) and include receptor affinity (C-terminal) as well as receptor activation (Nterminal) domains. We have developed a technology in which a peptide ligand tethered to the cell membrane selectively modulates corresponding class B1 GPCR-mediated signaling. The engineered cDNA constructs encode a single protein composed of (i) a transmembrane domain (TMD) with an intracellular C terminus, (ii) a poly(asparagine-glycine) linker extending from the TMD into the extracellular space, and (iii) a class B1 receptor ligand positioned at the N terminus. We demonstrate that membrane-tethered peptides, like corresponding soluble ligands, trigger dose-dependent receptor activation. The broad applicability of this approach is illustrated by experiments using tethered versions of 7 mammalian endogenous class B1 GPCR agonists. In parallel, we carried out mutational studies focused primarily on incretin ligands of the glucagon-like peptide-1 receptor. These experiments suggest that tethered ligand activity is conferred in large part by the N-terminal domain of the peptide hormone. Follow-up studies revealed that interconversion of tethered agonists and antagonists can be achieved with the introduction of selected point mutations. Such complementary receptor modulators provide important new tools for probing receptor structure-function relationships as well as for future studies aimed at dissecting the tissue-specific biological role of a GPCR in vivo (e.g., in the brain vs. in the periphery).agonist ͉ antagonist ͉ GPCR ͉ incretins ͉ peptide hormones C lass B1 G protein-coupled receptors comprise a physiologically important subgroup of peptide hormone receptors. These 7-transmembrane domain (TMD) proteins are distinguished by a unique set of signature motifs and a lack of homology with other GPCR classes, such as class A (rhodopsin family) receptors (1). Peptides acting on class B1 receptors modulate a wide range of biological functions, including the control of insulin release [e.g., glucagon-like peptide-1 (GLP-1) and glucose-dependent insulinotropic peptide (GIP)], calcium homeostasis and bone remodeling [e.g., parathyroid hormone (PTH) and calcitonin], as well as vascular reactivity [e.g., calcitonin gene-related peptide (CGRP)] (2).Many studies on class B1 GPCRs support a 2-domain model for hormone recognition and receptor activation. The corresponding peptide ligands are of intermediate length (27-44 aa). It is postulated that the C-terminal portion of the peptide binds the N-terminal extracellular domain (ECD) of the receptor; this interaction at least in part defines both ligand affinity and specificity. As a second step, the N-terminal segment of the hormone interacts with the receptor TMDs and connecting extracellular loops, t...