This chemical is primarily utilized in advanced organic synthesis, particularly in the development of complex heterocyclic compounds. Its structure, featuring multiple functional groups, makes it a valuable intermediate in the preparation of pharmaceutical agents. Specifically, it is employed in the synthesis of compounds with potential biological activities, such as enzyme inhibitors or receptor modulators. The presence of the benzyloxy and chloromethyl groups allows for further functionalization, enabling the creation of diverse molecular architectures. Additionally, it may be used in research settings to study reaction mechanisms or to develop novel synthetic methodologies for constructing indole-based frameworks. Its application is largely confined to laboratory-scale processes due to its specialized nature.