Used in organic synthesis as a building block for more complex molecules, particularly in the development of pharmaceuticals. It serves as a key intermediate in the creation of compounds with potential biological activity, such as anti-inflammatory or anticancer agents. Its indole core structure is valuable in designing drugs targeting specific enzymes or receptors. Additionally, it can be utilized in the preparation of fluorescent probes or dyes for biochemical research, aiding in the study of cellular processes. Its iodine substituent makes it a useful precursor for further functionalization through cross-coupling reactions.