Brazilin shows hypoglycemic effect in diabetic animals through enhancement of glucose metabolisms in insulin responsive tissues. One of the major mechanisms of brazilin to enhance glucose metabolism is stimulation of glucose transport in adipocytes. In this study, the essential molecular moiety of brazilin for the stimulation of glucose transport was investigated. We found that brazilin undergoes a structural change in physiological buffer and produces hydrogen peroxide. Methylation of hydroxyl group of brazilin or addition of catalase along with brazilin resulted in the complete inhibition of brazilin-induced glucose transport in adipocytes. Because hydrogen peroxide increases glucose transport by inhibition of phosphatases, we examined the effect of brazilin on phosphatase activity. Brazilin inhibited phosphatases in a wide range of activity, and protein phosphatase 1 and 2A were also inhibited. These results suggest that the production of hydrogen peroxide by oxidation of catechol hydroxyl group of brazilin mediates glucose transport through inhibition of phosphatases which otherwise decrease glucose transport in adipocytes.