Primarily utilized in organic synthesis, 2-Iodo-benzofuran serves as a versatile building block for constructing complex molecules. It is commonly employed in cross-coupling reactions, such as Suzuki and Sonogashira couplings, to form carbon-carbon bonds, which are essential in pharmaceutical and material science research. Its structure allows for the introduction of benzofuran derivatives into various compounds, enhancing their biological activity or material properties. Additionally, it is used in the development of fluorescent dyes and organic electronic materials due to its ability to modify electronic characteristics. Researchers also explore its potential in creating novel drug candidates, particularly in targeting specific enzymes or receptors.