Xanax (Alprazolam) is a prescription medication used to treat anxiety and panic disorder. It is a benzodiazepine, a type of drug that works by increasing the activity of a neurotransmitter called GABA in the brain, leading to a calming effect. It is important to use Xanax only as directed by a healthcare provider and to avoid consuming alcohol while taking it, as this can increase the risk of side effects.