Used primarily as a key intermediate in the synthesis of pharmaceuticals and biologically active compounds. Its structure supports the development of indole-based derivatives, which are common in drugs targeting neurological and psychiatric disorders. It is also employed in the creation of fluorescent dyes and sensors due to the inherent optical properties of the indole scaffold. In research, it serves as a building block for novel organic compounds in medicinal chemistry, particularly in the design of serotonin receptor modulators and anti-inflammatory agents.