Diacylglycerol (DAG) is a second messenger molecule made by phospholipase C (PLC) (a membrane-bound enzyme), together with inositol triphosphate (IP3). Although inositol triphosphate (IP3) diffuses into the cytosol, diacylglycerol (DAG) stays close to the plasma membrane, due to its hydrophobic properties. IP3 stimulates the release of calcium ions from the smooth endoplasmic reticulum while DAG is still membrane associated and activates protein kinase C (PKC).