Used primarily as a key intermediate in the synthesis of pharmaceuticals, particularly in the development of central nervous system (CNS) agents. Its rigid cyclobutane backbone and functional groups make it valuable for constructing stereochemically defined molecules. It is notably employed in the preparation of selective enzyme inhibitors and receptor modulators, where the cis-configuration enhances binding affinity and metabolic stability. Its amine and alcohol functionalities allow for easy derivatization, enabling use in combinatorial chemistry and drug discovery pipelines.