xanax is mainly prescribed for treating anxiety, stress, and panic disorders. It acts by reducing abnormal excitement in our brains, which results in us feeling calm and relaxed. Besides, it helps to relieve insomnia or sleeping problems. It's a benzodiazepine that raises the activity of the brain's chemical messenger, known as GABA, decreasing the abnormal and overactivity of brain neurons (cells), which calms the brain and helps sleep.