This compound is primarily used in the synthesis of complex organic molecules, particularly in pharmaceutical research. It serves as a key intermediate in the production of peptide-based drugs, where its structure is valuable for introducing indole-containing amino acid derivatives. The tert-butoxycarbonyl (Boc) protecting group ensures selective reactivity during multi-step synthetic processes, making it essential for constructing biologically active compounds. Its application is particularly significant in developing treatments targeting neurological disorders, as indole derivatives often exhibit activity in the central nervous system. Additionally, it is utilized in the preparation of protease inhibitors and other therapeutic agents, contributing to advancements in medicinal chemistry.