This compound is primarily utilized in biochemical research as a precursor or intermediate in the synthesis of more complex molecules, particularly those related to tryptophan derivatives. It plays a role in studying metabolic pathways and enzyme mechanisms, especially those involving indole-containing compounds. Additionally, it is used in the development of pharmaceuticals, particularly in the creation of drugs targeting neurological disorders, given its structural similarity to neurotransmitters. Its applications also extend to peptide synthesis, where it serves as a building block for designing bioactive peptides with potential therapeutic effects.