-O-linked N-acetylglucosamine (O-GlcNAc) is an abundant and dynamic post-translational modification implicated in protein regulation that appears to be functionally more similar to phosphorylation than to classical glycosylation. There are nucleocytoplasmic enzymes for the attachment and removal of O-GlcNAc. Here, we further characterize the recently cloned -N-acetylglucosaminidase, O-GlcNAcase. Both recombinant and purified endogenous O-GlcNAcase rapidly release free GlcNAc from O-GlcNAc-modified peptide substrates. The recombinant enzyme functions as a monomer and has kinetic parameters (K m ؍ 1.1 mM for paranitrophenyl-GlcNAc, k cat ؍ 1 s ؊1 ) that are similar to those of lysosomal hexosaminidases. The endogenous O-GlcNAcase appears to be in a complex with other proteins and is predominantly localized to the cytosol. Overexpression of the enzyme in living cells results in decreased O-GlcNAc modification of nucleocytoplasmic proteins. Finally, we show that the enzyme is a substrate for caspase-3 but, suprisingly, the cleavage has no effect on in vitro O-GlcNAcase activity. These studies support the identification of this protein as an O-GlcNAcase and identify important interactions and modifications that may regulate the enzyme and O-GlcNAc cycling.Multiple nucleocytoplasmic proteins, including transcription factors, cytoskeletal proteins, oncogenes, and kinases, are posttranslationally modified with -N-acetylglucosamine (O-GlcNAc) 1 (1-3). In each case studied, the glycan has a turnover rate that is much faster than that of the protein to which it is attached (4, 5). The O-GlcNAc modification of certain proteins is modulated by various extracellular stimuli and growth conditions (6, 7). Thus, based on its dynamic and inducible nature, O-GlcNAc is most likely a regulatory modification, more similar to phosphorylation than to classical glycosylation (8). In further support of this hypothesis, there are nucleocytoplasmic enzymes for the attachment (O-GlcNAc transferase, OGT) and for the removal (O-GlcNAcase) of O-GlcNAc, analogous to the kinases and phosphatases for phosphate.The protein uridine diphospho-N-acetylglucosamine: polypeptide -N-acetylglucosaminyltransferase (OGT) has been cloned and characterized in our laboratory and others (10, 11). OGT is highly conserved from Caenorhabditis elegans to humans and is essential for mouse embryonic stem cell viability (12). OGT contains multiple tetratricopeptide repeats that appear to mediate the enzyme's trimerization, substrate recognition, and protein-protein interactions (13,14). Furthermore, the enzyme is modified by tyrosine phosphorylation, as well as O-GlcNAc (10). A variety of splice variants of this enzyme appear in the National Center for Biotechnology Information data base, but they have not been examined. The enzyme is also exquisitely responsive to the concentration of UDP-GlcNAc, the donor sugar nucleotide (13). This multitude of protein-binding domains, post-translational modifications, splice variants, and substrate sensitivity could allow ...