Used as an intermediate in organic synthesis, particularly in the production of pharmaceuticals and fine chemicals. Its structure allows for ring-opening or functional group modifications, making it valuable in creating bioactive molecules. Commonly employed in the development of cyclic analogs and prodrugs due to the stability and reactivity of the cyclobutane backbone. Also utilized in the synthesis of polymers with tailored properties, where the hydroxymethyl and carboxylate groups enable cross-linking or further chemical derivatization.