Abstract The TMEM43 gene has been reported to play supportive but critical roles in human diseases including cancer, arrhythmogenic right ventricular cardiomyopathy (ARVC), and auditory neuropathy spectrum disorder (ANSD). However, direct characterization of the TMEM43 protein itself and its role in the brain remain unexplored. In this study, we demonstrated that TMEM43 confers ion channel activities via the lipid bilayer reconstitution of purified TMEM43 protein and further characterized TMEM43 as a pH-sensing cation channel in the heterologous expression system. TMEM43 was shown to conduct transjunctional potentials between adjacent cells, further facilitating electrical couplings of the gap junctions. In the hippocampus of TMEM43 knockout (KO) mice, we observed a decrease in astrocytic dye diffusion and potassium buffering, an increase in neuronal excitability, and alterations in AMPA/NMDA ratio and LTP. The electrophysiological changes in the KO mice led to a disturbance in memory retrieval which was rescued with TMEM43 overexpression. These results indicate that TMEM43 actively participates in gap junction networks of the hippocampus to prevent neurons from hyperexcitability, which is critical for memory retrieval. Together, our study elucidates the molecular and functional identities of TMEM43 and underscores its role in memory retrieval.