This chemical is primarily utilized in the field of organic synthesis, particularly in the development of pharmaceutical compounds. It serves as a key intermediate in the production of various biologically active molecules, including potential drug candidates. Its structure, featuring both a nitro group and a hydroxymethyl group, makes it a versatile building block for constructing complex indole derivatives. These derivatives are often explored for their therapeutic properties, such as anti-inflammatory, antimicrobial, or anticancer activities. Additionally, the tert-butyl carboxylate group provides stability and facilitates further chemical modifications, making it valuable in medicinal chemistry research and drug discovery processes.