Myelin sheath is the insulating envelope of myelin, that surrounds the core of a nerve fiber or axon and that facilitates the transmission of nerve impulses, formed from the cell membrane of the Schwann cell in the peripheral nervous system and from oligodendroglia cells. Nonmyelinated nerve fiber lacks the fatty myelin insulating sheath. Such fibers form the gray matter of the nervous system, as distinguished from the white matter of myelinated fibers.