Cyclopamine is a naturally-occurring chemical that belongs to the group of steroidal jerveratrum alkaloids, a teratogen isolated from the corn lily (Veratrum californicum). It is a specific Inhibitor of hedgehog (Hh) signaling, likely via direct inhibition of Smoothened. Because hedgehog signaling pathway is involved in embryogenesis and cancer progression, Cyclopamine could be used as the inducer of stem cell differentiation towards definitive endoderm pancreatic islet cells, and as a modulator controlling cell proliferation, and as a drug to kill stem-like cancer cells and block tumor engraftment.