Used in organic synthesis to create complex molecules, particularly in the development of pharmaceuticals and bioactive compounds. It serves as a key intermediate in the production of indole derivatives, which are valuable in drug discovery and medicinal chemistry. Its structure is also utilized in the synthesis of dyes and pigments for industrial applications. Additionally, it plays a role in research related to neurodegenerative diseases and serotonin receptor studies due to its indole core, which is structurally similar to certain neurotransmitters.