The pluripotent nature of stem cells allows researchers to use them in a variety of applicatoins ranging from antibody production to studying various developmental processes. Another beninit includes the use of stem cells in cell replacement therapy, where a colony or group of nin-functional cells can be replaced with genetically engineered stem cells. One of the proposed applications for this method is in the treatment of type 2 diabetes.
The problem with stem cells are the equipment, fecilities and skills required to maintain them. Ethics comes into the picture when we are dealing with stem cells. Genetically modifying human embryonic stem cells is against the law.