You can use Serum Powder's second ability only while it's in your hand. If this card is in your hand, you can choose either to mulligan or to use Serum Powder's ability. Using the ability doesn't prevent you from taking further mulligans, and taking a mulligan doesn't prevent you from using a Serum Powder's ability if you happen to draw one.

Unlike a normal mulligan, Serum Powder lets you draw the same number of cards that were in your hand, not one less. If you have already taken one mulligan and your hand contains six cards including a Serum Powder, you can choose to exile those six cards and draw six new cards.

The cards in your hand are exiled for the rest of the game; they aren't shuffled back into your library if you take another mulligan. Cards exiled are always face up unless the effect that exiled them says they aren't. Be sure to return those cards to your deck for your next game.