Benzofuran-3-ol is primarily used as an intermediate in organic synthesis, especially in the development of pharmaceuticals and bioactive compounds. Its structure serves as a key building block in the preparation of various heterocyclic compounds with potential therapeutic effects. It is employed in the synthesis of agents with antioxidant, anti-inflammatory, and antimicrobial properties. Additionally, derivatives of benzofuran-3-ol are explored in medicinal chemistry for their activity in central nervous system disorders and as potential anticancer agents. The compound also finds use in the design of fluorescent probes and materials in agrochemical research due to its aromatic and electron-rich characteristics.