Bunny

The Bunny is a Critter with only 5 health. It can be damaged by other mobs, including the player, which almost always results in their instant death. Bunnies can usually only spawn in the middle third of the above-ground world, and only on ordinary Grass. However, they can also spawn anywhere near an NPC house.

During a Blood Moon, or when hit with Vile Powder, Bunnies will turn into Corrupt Bunnies, which have much more health and are aggressive.

During the Halloween event you can see bunnies wearing a Green Slime costume. There are also slimes that spawn wearing a bunny mask and tail.

Bunnies can be caught using the Bug Net, they can be carried around in the inventory and released again. You can also craft them into a Bunny Cage and used as an animated furniture.

You can use a bunny statue to spawn bunnies.

Trivia

 * The Bunny can be seen on many of Terraria's logos, being one of the most common icon characters of the game.
 * One of the world generating/loading statements on console is; 'killing bunnies is cruel. Period.'
 * In the Halloween season bunnies may wear a Slime costume, and on the Christmas season they may spawn with Santa costumes in a similar way.

Tips

 * It's easier to farm for Bunny Banners if you have a Bunny Statue. Summoned monsters don't drop coins when they die, but they will still drop items (excluding a few exceptions).
 * Even though bunnies don't give coins if spawned using a statue, if you throw vile powder on a bunny spawned by one it will become corrupt and will drop other items (excluding coins, due to 1.2.3 update)

History
Lapin Bunny Bunny Кролик