When the peripheral nervous system develops, Schwann cells line up along unmyelinated axons at regular intervals that eventually become the nodes of Ranvier (important for saltatory nerve condution). The ensheathing process takes place as Schwann cells wrap around the axon many times over, creating concentric layers whose cytoplasm progressively condenses. Contact with the axons also activates myelin genes leading to the expression of myelin glycoproteins and lipids across the Schwann cell plasma membrane. The sheath therefore consists of plasma membrane, cytosol, lipids, glycoproteins, and the Schwann cell nucleus.
*So basically, the schwann cells is a protective membrane that covers the axon. It also produces myelin sheath (the coating of a neuron), which increases the speed of the nerve impulse.
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