Previous experimental and theoretical studies have produced highresolution descriptions of the native and folding transition states of chymotrypsin inhibitor 2 (CI2). In similar fashion, here we use a combination of NMR experiments and molecular dynamics simulations to examine the conformations populated by CI2 in the denatured state. The denatured state is highly unfolded, but there is some residual native helical structure along with hydrophobic clustering in the center of the chain. The lack of persistent nonnative structure in the denatured state reduces barriers that must be overcome, leading to fast folding through a nucleation-condensation mechanism. With the characterization of the denatured state, we have now completed our description of the folding͞ unfolding pathway of CI2 at atomic resolution.CI2 ͉ nuclear magnetic resonance ͉ molecular dynamics simulations ͉ conformational transitions ͉ nucleation-condensation P rotein folding is a rapid and complex process that is difficult to characterize. To add to this difficulty, the denatured state consists of a large ensemble of conformations interconverting at a rapid rate. The denatured state is often assumed to be devoid of intramolecular interactions, such that the stability of a protein can be explained purely in terms of interactions in the native state. In recent years, it has become apparent that many proteins contain residual structure in the denatured state (ref. 1 and refs. therein). However, detailed characterization of this structure is very challenging, if not impossible in many cases. As such, during folding one follows the transition of a diverse system from an unknown starting point to a well-ordered native state. Further information about the diversity, dynamics, and structure of the denatured state is necessary to characterize and understand better this process.The simplest folding pathway to define is two state, i.e., involving only the denatured and native states, which are separated by the energetically unfavorable transition state. Chymotrypsin inhibitor 2 (CI2) was the first protein shown to fold by a two-state mechanism, and it has since been the focus of a number of experimental and theoretical studies. It is a 64-residue protein that consists of an ␣-helix and a three-stranded -sheet (Fig. 1). The main hydrophobic core is formed by the packing of the ␣-helix against the -sheet.Experimentally, the structure of the transition state has been studied by the protein engineering (⌽-value) method (2). In combination with molecular dynamics (MD) simulations, an atomic-resolution model of the transition state has been proposed (3-7) and verified (8). The rate-limiting step for the folding of CI2 involves the final expulsion of water molecules from the exposed nonpolar side chains and the tight packing of the hydrophobic core. The transition state is similar to an expanded native state with some disruption of the secondary structure.In contrast, the denatured state of CI2 appears to be largely unstructured as probed by NMR studies of variou...