Used as a chiral building block in the synthesis of pharmaceuticals, particularly in the production of antiviral and antitumor agents. It serves as a key intermediate in the preparation of nucleoside analogs, which are important in drugs targeting HIV, hepatitis B, and certain cancers. Its lactone structure and hydroxymethyl group allow for selective chemical modifications, making it valuable in asymmetric synthesis and the development of biologically active molecules. Also employed in the manufacture of nootropic agents and neuroprotective compounds due to its structural similarity to neurotransmitter precursors.