Used as a key intermediate in the synthesis of pharmaceutical compounds, particularly in the development of central nervous system (CNS) agents. The cyclobutane ring and trifluoromethoxy-substituted phenyl moiety enhance cell membrane permeability and biological target specificity. Its structure supports the modulation of receptor activity, making it valuable in creating analogs for neuroactive drugs. The compound's stability and functional group compatibility allow for efficient derivatization in medicinal chemistry workflows. It is also employed in the preparation of selective enzyme inhibitors due to its ability to enhance binding affinity and metabolic resistance in drug candidates.