The salt tolerance protein (STO) of Arabidopsis was identified as a protein conferring salt tolerance to yeast cells. In order to uncover its function, we isolated an STO T-DNA insertion line and generated RNAi and overexpressor Arabidopsis plants. Here we present data on the hypocotyl growth of these lines indicating that STO acts as a negative regulator in phytochrome and blue-light signalling. Transcription analysis of STO uncovered a light and circadian dependent regulation of gene expression, and analysis of light-regulated genes revealed that STO is involved in the regulation of CHS expression during de-etiolation. In addition, we could show that CONSTITUTIVE PHOTOMORPHOGENESIS 1 (COP1) represses the transcription of STO and contributes to the destabilization of the protein in etiolated seedlings. Microscopic analysis revealed that the STO:eGFP fusion protein is located in the nucleus, accumulates in a light-dependent manner, and, in transient transformation assays in onion epidermal cells, co-localizes with COP1 in nuclear and cytoplasmic aggregations. However, the analysis of gain- and loss-of-function STO mutants in the cop1-4 background points towards a COP1-independent role during photomorphogenesis.