Physostigmine is a reversible cholinesterase inhibitor derived from natural sources, primarily used to treat conditions like glaucoma, myasthenia gravis, and severe anticholinergic toxicity. It increases acetylcholine levels, affecting both nicotinic and muscarinic receptors, and can cross the blood-brain barrier, making it useful for cognitive disorders like Alzheimer's. However, it carries serious side effects, including the risk of overdose leading to respiratory failure and cardiac arrest.