Used as a chiral building block in the synthesis of pharmaceuticals, particularly in the development of nootropic and neuroprotective agents. It serves as an intermediate in the production of racetam-class cognitive enhancers, such as aniracetam and oxiracetam, where its stereochemistry plays a key role in biological activity. The compound's ability to cross the blood-brain barrier makes it valuable in central nervous system drug design. It is also employed in research for creating novel heterocyclic compounds with potential therapeutic effects.