This compound is primarily utilized in organic synthesis as a versatile intermediate for constructing complex indole derivatives. It serves as a key building block in the development of pharmaceuticals, particularly in the synthesis of biologically active molecules targeting various diseases. Its iodine substituent makes it a valuable substrate for cross-coupling reactions, such as Suzuki or Sonogashira reactions, enabling the introduction of diverse functional groups. Additionally, the tert-butyl carboxylate group provides stability and can be selectively removed or modified to access further derivatives. Its application extends to agrochemical research, where it aids in the creation of novel compounds with potential pesticidal or herbicidal properties.