The "Unknown Medicine" in this series is the medicine that several characters try to inject into one another. In reality, this is C-120 (an alternate version of it is named C-103), a treatment for Hinamizawa Syndrome. It usually appears as a syringe full of golden, orange or colorless liquid. The vaccine version of the Unknown Medicine is called C-117.
The medicine was developed by Irie Kyōsuke and is designed to suppress the symptoms occurring in the Syndrome's LV3 to LV5 stages by decreasing epinephrine, norepinephrine, and cortisol hormone levels. Epinephrine, cortisol and norepinephrine are hormones secreted by the adrenal (adrenaline) gland under increased anxiety and stress. Together, they can induce psychotic paranoia responses and act as stimulators that make the Hinamizawa Syndrome pathogen incredibly unstable; so, by decreasing these hormonal levels, the mood and adrenaline energy of the victim will be depressed and the pathogen will remain dormant. Since the hormones are naturally secreted by the adrenal gland, the C series injections are only short-term. In Matsuribayashi-hen, Irie and Takano Miyo report that since the C-120's purpose is to depress hormone levels, anyone living normally under LV1 or LV2 (or even don't possess the Syndrome) injected with the C-120 will have their stamina levels drastically reduced and experience mimicked LV5 symptoms such as lymph node rashes, muscle spasms, and headaches.